How much do NFTs (non-fungible tokens) sell for is not an easy question to answer as they have expanded immensely. With this expansion, we have to look into the different values that NFTs have throughout the stages.
As I am sure you already know, NFTs have extreme variations concerning their prices. Some can sell for $100 and others for hundreds and thousands of dollars. So let’s take a look at what gives an NFT its value.
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How Much?
Before a collection hits a major marketplace such as OpenSea or Rarible, the collection is first minted. When the collection is minting, individuals can purchase an NFT at a set price.
Once it hits the marketplace, the price has the potential to skyrocket. This was clearly seen with Bored Ape Yacht Club. Their minting price was nowhere close to what their NFTs sell for today.
Originally they minted at 0.08 Ethereum, today, many of these apes can go for over $500,000, holding a current floor price of 107 Ethereum.
This escalation in price occurred in less than one year. To think that this type of price increase has occurred in less than 365 days is quite frankly staggering.
In contrast, Bitcoin needed many years to come to the spotlight with the price increase that individuals expected. Keep in mind that any individual can upload and sell an NFT.
Just because someone posts one does not necessarily mean that the NFT will sell. It is said that only 1% of NFTs sell for over $1500.
This is hard to picture since all NFT news outlets rant about the big collections, and how well they are all doing. In reality, they constitute just 1%.
Communities
I cannot stress the importance of communities concerning NFT price variation. This is one of the greatest make-or-break factors regarding any collection.
Whether it is Twitter, Discord or Telegram, all of them showcase the community members and the project creators. A community that believes in a collection is crucial to the price.
The community adds and allows the NFTs to retain their value. Communities are the foundation of a collection.
Road Maps
Another make-or-break moment involving the value and price of an NFT is the collection’s roadmap. The road map details the steps that the NFT creator will undertake in delivering their project, the timeline, and the benefits that the NFT holder will receive.
The more the road map offers, the more potential a collection has, thus raising the overall price. If you are looking into a collection that has a road map, research it and see what they are offering you.
Set Your Own Price
A huge aspect of the digitalization of art with NFTs is that anyone can post their creations online and sell them for any price. NFTs don’t only encompass huge collections, they also can include singular pieces of digital art.
As the saying goes, ‘Beauty is in the eye of the beholder.’ Many individuals purchase NFT pieces that don’t come from grand collections.
This allows artists that don’t want to get involved in collections to release singular pieces of art. Thus, allowing individuals to purchase a piece of art that they truly find beautiful.
The future of NFTs is bright. They are branching out into many industries, such as music and even sport. Eventually, they will encompass various aspects that aren’t even related to creative arts and sports.
But for now, we will have to wait and see where they will end up. So there you have it, folks. And as always, let us know your thoughts in the comments section below. And while you are at it, drop your email to get insights into your inbox.
