The tech market constantly undergoes changes. There are trends & technologies that are rapidly changing the market landscape. The more unique and disruptive it is, the higher chances it has for early adoption and more sustenance.
NFTs are digital assets that have been transformative in terms of value creation and exchange. Recently, NFTs have been gaining a lot more prominence, and many entrepreneurs are willing to create their own marketplace. However, before jumping onto the bandwagon, it is important to understand the cost of NFT marketplace development.
It will allow you to manage the cost to develop NFT marketplace and help you create something that is functional for the user. After that one can start building features upon it and make it a complete solution.
Want to learn about the NFT marketplace development cost and other factors associated with the tech trend? Read ahead…
What is NFT and What can be done with its Marketplace?
In order to understand NFT (non-fungible tokens), it is important to understand fungible tokens. There are basically two types of currencies or assets, these both represent those currencies. Fungible tokens have equal value of exchange. For example, the value of a $1 dollar bill is similar to any other $1 dollar bill.
However, NFTs (non-fungible tokens) are digital assets that each represent their own unique value. These are similar to rare cards or paintings that can’t be exchanged for equal value.
NFTs should have the following characteristics:
- It can be verified using cryptography.
- It should be unique and scarce.
- It should be easily transferable from one owner to another.
Below are some types of NFTs:
- Digital avatars
- Profile picture
- Artwork
- Collectibles
- Gamified NFTs
What is an NFT Marketplace?
A place based on blockchain technology that is capable of selling, auctioning, and buying NFTs. An NFT marketplace needs to have multiple categories. Also, it should be capable of making payments.
There are so many digital artists, creators, animators, gamers, celebrities, etc, that have created their NFTs and have put them for sale.
The selling price of this NFT mentioned above is $91 800 000. It is the most expensive NFT that has been sold till now and there are multiple others similar to it that have been sold for literally a fortune. Currently, the market for NFT is ripe and a lot of people are looking forward to investing in the market.
If an entrepreneur is considering creating an NFT marketplace, the chances of it becoming a success would be much higher. However in order to create something such as this, one needs to understand:
- Best NFT apps
- How to develop NFT marketplace?
- NFT marketplace development services
- NFT marketplace developers
- NFT marketplace development cost associated with it.
- How to create and sell your own NFTs?
Market of NFT and NFT Marketplace
The above graph shows the change in the value of the NFT market because of the Russia-Ukraine war. After and during the Russia-Ukraine war, the market of NFT escalated higher and is expected to go higher. It is because of multiple sanctions that were imposed on the country. It decreased the value of the Russian Ruble. However using NFT assets, any person can lock in their value to a decent degree. How? Because the value of the NFT would be equal to the value of its counterpart cryptocurrency.
For instance, if the value of a cryptocurrency “A” is $20,000 dollars during the time of conversion then that value will increase or decrease on the basis of the cryptocurrency and not the currency using which it was purchased. Basically, the value of an NFT is not dependent on the state of the country. Its rise and fall are dependent on the cryptomarket.
As per Statista, here are statistics that you should know about:
- NFT revenue is expected to reach $3546.00 million in 2023.
- The average revenue generated by a single user in NFT is $70.46 in 2023.
- It is projected to reach $8,068 million by 2027.
- The user penetration is expected to increase by 0.1% between 2023 and 2027.
Till September 2021, the NFT marketplace has shown tremendous growth. It acquired a total sales volume of NFTs reaching $2.5 billion in a year as reported by DappRadar.
Features Necessary to Build the NFT Marketplace
There are multiple features that are required to build the NFT marketplace. We have mentioned some of the most important ones below:
- Integration of smart contract
- Listing in NFTs
- Personal user account
- Capability of analytics and reporting
- It should be secure
- Integration of payment gateway
- It should have customer support
Top Examples of NFT Marketplace
These are some of the top marketplaces that are up and running successfully as per Forbes. These are:
- Opensea
- NBA Top Shot
- Binance
- Nifty Gateway
- Superrare
What is the Estimated Cost of NFT Market Development?
There are several factors that affect the cost of development of the NFT marketplace. These factors are:
- Scope and complexity of the project
- Features desired
- Geography of the development team.
Therefore, determining the exact cost to develop NFT marketplace will differ from marketplace to marketplace, and on your requirement. However, the cost of development can be estimated.
Therefore, here are some numbers we crunched out:
| Hire a freelancer | Depending upon the expertise, the range is $15,000 to $50,000 |
| In-house development | In-house cost can range between $15,000 to $50,000 |
| Outsourcing | Depending upon the geography of the NFT marketplace development company’s location, the range is $75,000 to $250,000 |
Wrapping Up!
NFT right now is a budding opportunity. A lot of app creators and entrepreneurs are trying to seize it considering trying to get the first movers advantage. By understanding the cost of NFT marketplace development, it is easier to build a robust platform. The creation of NFT is not going to plummet instead it can serve as a market for creating digital assets that are unique in their nature. Trying to build your own NFT marketplace is an idea that is slowly gaining traction, and making your place initially in the market would work in your favor.
Looking forward to learning about the top NFT marketplace development companies? Click on the link provided to start your journey.
By Sakshi Kaushik
Content Writer
A passionate writer and tech lover, she strives to share her expertise with mobile app developers and fellow tech enthusiasts. During her moments away from the keyboard, she relishes delving into thriller narratives, immersing herself in diverse realms.
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