NFTs, or Non-Fungible Tokens, are cryptographically unique tokens that can be collected and traded on the blockchain. Like currency, each token has its value and is used for different things in games and online communities. There are lots of amazing NFT projects popping up, but there are also a lot of fakes and scams running around. If you want to start selling some NFTs for real money on the Ethereum blockchain, then this guide is for you.
Set A Price That Isn’t Too High Or Too Low
You don’t want to undersell your item since that devalues you in your customer’s eyes, but you also don’t want to overcharge them because they might not buy it. A good price is one that both parties are happy with. You can set a fixed price per NFT, or set up something where the buyer pays what they think is reasonable for it. The benefit of the latter is that you might get a buyer who spends a lot on an item, but then again you might get a buyer who puts in very little.
NFTs are unique and unofficial. They don’t fall under any standard and as such, setting prices for them is not like selling a hat. Even though there isn’t an official price per NFT, your customer is still expected to pay with cryptocurrency which has an official value set by the market. If this doesn’t sit well with you, then it might not be right for you.
Sign Up On Platforms You Can Sell
Before you can sell, you have to sign up for an account on the platforms where you want to list your NFTs. There are two types of platforms where you can sell NFTs, which are centralized and decentralized. Centralized platforms are sites like eBay, Amazon, Etsy, etc. where you can sell items through the site, but you don’t own your store or your inventory. You give these platforms a cut of every sale to use their platform, and they’re responsible for holding on to payments. These types of platforms aren’t built for blockchain-based items and may charge high fees or have minimum thresholds, so it’s usually easier to just use a decentralized exchange.
Decentralized exchanges (DEXs) are more common for selling blockchain-based items because they don’t require you to give them any information about yourself, such as your name or mailing address. For example, on platforms like jungle, buyers can transact directly with sellers on a peer-to-peer basis. Tokens are stored in the user’s wallets and not on the platform, which makes these exchanges wallet-friendly and secure. Before you attempt to list any NFTs, make sure that the platform allows you to sell them. Some platforms only allow for buying and trading of NFTs, while others have a buyback system where it buys back your NFT from you whenever someone else wants to purchase it.
Make Your Smart Contract As Simple As Possible
Make sure that you have a good name for it and that its functions are easy to understand from reading the code itself. Write out some documentation and make sure that you explain what your smart contract does in a detailed-but-straightforward way. Also ensure your smart contract is verified on Etherscan.io and has a functional page with some info about it, including the source code if possible.
You can also include things like how to use it or links to Github repos that have more details about how it works. Let potential users know that you’re testing your contract either as a regular sale, as part of a fundraiser (like the recent Mozilla/meteor announcement), or as something like an ongoing development fund.
Write A Disclaimer For Refunds And Exchanges To Protect Yourself
Whether you are selling through an online marketplace or your website, it is important to have a refund policy in place. A sense of safety prevents potential customers from feeling wary about spending their money on your products. Your refund policy should contain information on how refunds are processed and the time frame for expected refunds. Notify your customers of the terms for acquiring a refund. You may also wish to include relevant stipulations that the platform requires before giving out refunds.
In situations where a refund is not possible. For example, if a buyer purchased a digital product that cannot be returned, you should include the terms for how refunds are handled in this scenario. Also important to consider is what happens if a buyer requests a refund outside of your designated time frame. In this instance, it’s best practice to provide at least partial or prorated refunds. At any rate, it’s best to avoid the situation altogether and keep your refund policy straightforward.
If you plan on using a third-party payment processor, check that their terms do not contradict or hinder any of your refund policies. For instance, PayPal has certain limitations in its terms of service for digital goods transactions. Make sure you’re aware of these when designing your refund policy. You may also wish to include how refunds are handled for bundled items. Some payment processors deduct fees on top of the bundled price, so be sure to mention this as well if you plan on selling bundled products or packages.
It’s important to keep your customers informed of any updates made to your refund policy. Adding a notification at the top of your policy is beneficial for informing customers of any updates.
Make Research On How To Transact Safely On The blockchain
The blockchain is not like normal platforms, where transactions can go through with just an email or username. You need to be aware of the risks of what could happen if you don’t do things right on the blockchain. Although there are many ways to protect yourself when using the blockchain, you must learn about them before anything. Otherwise, the risks could be harmful to you and your assets on the blockchain. When conducting any kind of transaction on the blockchain, there are some things that you should keep in mind to help you stay safe.
The one very obvious thing that many people tend to ignore when selling anything on the blockchain is sharing private keys with other parties. On the blockchain, private keys are used to access your wallet and authorize trades or transactions for them to be successful. However, you should never share your private key with anyone. If you do, then that means you are transferring access over to them and if they have bad intentions, then they could just take all of your money or crypto assets. Therefore, you have to protect your private key like a physical asset.
Once you’ve chosen a platform to sell your NFTs on, it is now time for you to list them and decide on their price. Keep in mind that oftentimes, the highest value is not always what you can get from selling an item. Also, make sure that you are aware of how your chosen platform charges fees if you plan on using their service to sell your NFTs. And remember to always keep your transactions safe.