In modern times, the NFT marketplace app has become a new sensation in the thriving blockchain world. In addition, these non-fungible tokens are an inventive classification of unique tokens with an original stamp of authority and an inconsistent monetary worth. The usage of NFTs differs, varying from collectible art to online analogs of investments from the offline world (e.g., cars, real estate, fine art). One of the most extensive markets for NFT, more specifically virtual investments, is OpenSea, where there is an assortment of animations, GIFs, and simple graphics, and developers can earn millions of dollars by purchasing some of these works of art.
Understanding the OpenSea Marketplace
Modern NFT marketplaces have a combination of non-fungible tokens on sale from renowned artists and amateurs. Furthermore, there are loads to pick from, but one of the most significant is OpenSea — the first and the world’s largest online marketplace for non-fungible tokens and crypto collectibles. It was established in 2017 with $2 million in start-up investment. The organization recently raised an extra $23 million in April 2021 with the support of the venture capital fund of Andreessen Horowitz.
Dealers of NFTs settle a 2.5% commission on any deals made through the OpenSea system. Dealers must create an online wallet, make Collections, upload their creations and record them for sale. OpenSea authorizes the safe deal of online items between two groups without the requirement for trust between them or a centralized administration. The individual contract for each NFT is held on the peer-to-peer Ethereum blockchain. Present your NFT for approval by OpenSea and then market it on OpenSea. The standard payment via the OpenSea system is completed in ETH. Nevertheless, sellers have the alternative of accepting payment in over 200 cryptocurrencies.
Purchasers use the OpenSea system without any payment. To get started, you must make an account to skim through NFT collections. Considering you already own a crypto wallet, connect it, and you can now explore NFTs and OpenSea is free to operate by the customers of NFTs.
All the investment trades a buyer performs are made in the Ethereum (ETH) cryptocurrency. The OpenSea system transforms ETH into covered Ethereum (WETH). A customer who wants to buy an NFT on OpenSea must own a digital wallet holding ETH or WETH of a satisfactory amount to either settle the fixed price for the NFT (if it owns one) or settle for a successful bid in an auction of that NFT.
How Does an NFT Marketplace Like OpenSea Work?
Creating an NFT marketplace is unimaginable without comprehending its work logic and internal architecture. Here is a brief analysis of the primary steps of such platforms’ process, revealing the steps you need to comprise in making an NFT marketplace of your own.
Step 1. Registration
Both NFT buyers and artists must register an account at the NFT marketplace of their interest and give the KYC validation process to access the platform.
Step 2. Joining a Wallet
After enrollment, the users must create a consistent wallet or link their current wallet to sustain the storage of NFTs and cryptocurrencies.
Step 3. NFT Minting
The creators acting as NFT traders– should settle the subscription authorizing them to use the medium’s aids for NFT minting. Once the NFTs are prepared, they are open in the NFT marketplace’s online catalog.
Step 4. Pricing Model
The artist should choose the pricing benchmark for every minted NFT; it may either be a fixed-price sale or an auction where interested people bid for the item.
Step 5. NFT Selection
Customers coming to the NFT marketplace skim through the catalog and select the NFTs they want to receive, bid in the auction, or conduct a fixed-price investment.
Step 6. Payment
The settlement transaction is conducted using the linked crypto wallet, with either a quick sale or the highest bid presented upon the auction’s completion.
Read more: How to Build an NFT Marketplace from Scratch
How to Earn Money By Creating an NFT Marketplace Like Opensea?
Below are some ways to earn money by making a marketplace like Opensea.
One of the essential things about monetizing an OpenSea NFT marketplace model is that you can gain royalties from every deal on your medium. As more individuals utilize your marketplace to buy and trade NFTs, you’ll make a larger portion of each deal. The actual royalty rate will depend on the provisions of your contract with OpenSea, but it’s generally a small portion of each sale (between 1-5%).
- Listing Fees
Another way to monetize your OpenSea NFT marketplace clone is by levying listing costs. It implies that each time someone wants to record an NFT for sale on your platform, they’ll have to settle a small fee. It is a significant way to monetize your medium because it prompts users to record their NFTs for sale, which drives more transactions and traffic.
- Affiliate Links
You can also leverage your OpenSea NFT marketplace clone by incorporating affiliate links in your listings. It indicates that when someone taps on a listing that contains an affiliate link, you’ll earn a charge on any investments they make.
- Bidding NFT Sales
In addition to monetizing your OpenSea NFT marketplace clone through listing fees and affiliate links, you can also monetize it by charging a small fee for bidding on NFT sales. It is a great way to monetize your platform because it encourages users to bid on more NFT sales, which drives more traffic and transactions.
Another method to monetize your OpenSea NFT marketplace clone is by marketing the advertising area on your platform. It is a fantastic way to monetize your platform because it authorizes you to sell advertising space to companies related to the NFT industry.
A technology stack to create an NFT marketplace
Before making an NFT marketplace application, you must think that this solution will likely serve a big audience and deliver an effortless user experience, including quick page load speed and availability, even during severe burdens.
Selecting a proper technology stack is essential to creating an NFT marketplace medium that fulfills quality measures and software needs. Engineers can accomplish fault tolerance, scalability, and performance by using software technologies. It is also feasible to ensure safety while automating online NFT marketplace expansion.
It is important that creating an NFT marketplace has its specifics. Initially, non-fungible tokens are held on the decentralized circulated ledger, and NFT marketplaces typically use the blockchain. Second, smart NFT contracts are documented to facilitate the transfer of funds. For this reason, software professionals can use the Solidity programming language. An instance of a technology stack for creating an NFT marketplace:
- Platform: Amazon Web Services (AWS), Blockchain
- Libraries, frameworks, and tools: React, Django, Redux, Django REST Framework, FastAPI, Amazon EC2, Amazon S3, Amazon CloudFront, Amazon Route 53, Amazon EC2, Elasticsearch, Docker, NGINX, Kubernetes, RabbitMQ, Memcached, Firebase Cloud Messaging, Redis, Jest, Truffle, Polygon, Ganache, Solana
- Database and storage mediums: IPFS, PostgreSQL, Filecoin
To provide critical functionality while decreasing time to market, NFT marketplace designers can use third-party APIs for:
- Feedback and remarks: Disqus, Discord
- Crypto wallets: WalletConnect (permits for connecting more than 75 e-wallets)
- Payment gateways: Stripe, PayPal, Braintree
- Data analytics: Mixpanel, Google Analytics, Kissmetrics
In addition, you can consult with a reliable marketplace development business that will examine your goals and tailor a technology accumulation accordingly. Professional companies will also assist you in prioritizing NFT marketplace components, selecting a software architecture, and drafting a roadmap for project execution.
Some Important Elements For NFT Marketplace Development, Like OpenSea
The specific functionality of the OpenSea-like NFT marketplace is defined based on elements that have been ingrained. Below are some important elements of NFT marketplace development, like OpenSea.
- Shop Window/Storefront
A storefront is an online exhibitory where NFTs are shown for sale with requisite details like owner name, description, token name, and pricing info.
Users’ attention and retention are much more significant. One of the methods to achieve this is by searching NFTs more effortless. With the use of the search filter, they can discover the NFTs they like or are looking for.
- Online Payments
The various payment alternatives give users different suitable payment alternatives. Contemplating accepting payment via fiat money and cryptocurrencies is an additional advantage.
- Filter Alternative
With the help of the filter option, the users will be capable to sort out NFTs following the highest to the lowest cost and even classifications.
- Notification System
When opting for an NFT marketplace like OpenSea development, it would be appropriate to comprise the notification system. The users will be informed when online assets are put for the deal, new bids, special offers, and many more updates.
Profitable Niches for Your NFT Marketplace that You Should Consider
- EdTech Industry
Education companies can depend on NFTs to trade their lesson plans, classes, and lectures online on NFT marketplaces. Blockchain technology can significantly profit content creators in effectively drafting allocation and use.
- Investment Projects
An NFT marketplace can also be utilized as a stock exchange medium for substantial assets and securities trading. For this purpose, the owners must tokenize the assets and earn approval from the regulators.
- Luxury Items
Counterfeiting is a tremendous concern for luxury items such as clothes, shoes, jewelry, watches, etc. Utilizing an NFT token for each article could be a significant measure for delivering authenticity and license rights.
- Authentication Keys
We can also utilize non-fungible tokens as entrance keys for different products and content. Your NFT marketplace can operate as a trading medium for these assets.
Making an NFT marketplace like OpenSea seems a bit of a complicated process, and it takes time for its introduction. If you are a person who strives to get into the NFT market shortly, choosing an alternative solution — OpenSea Clone, will be an ideal ladder to undertake the NFT trading platform.