what makes a successful nft project

So youve decided you want to start investing in NFTs? Artistic merit is subjective and some very successful projects have objectively horrible artwork. And over the past year, weve worked with many high-profile NFT projects to ensure their drops are fair and problem-free. Thats why most project founders would kill to know how to get verified on OpenSea. If you research thoroughly and conduct proper due diligence, then chances are you will succeed in investing in a number of very promising projects with a bright future. The simplest suggestions are the most difficult to pull off. Bored Ape Yacht Club (BAYC), for example, isnt just 10,000 images of different apes. Focusing on your first 1,000 fans can carry you very far in reaching a wider audience. At the risk of sounding like a broken record, we do need to point out that all of the content in this article is purely for informational purposes. We have an excellent article on NFT roadmap examples that we recommend you have a look at too. Visitors who enter virtual waiting rooms for NFT drops can be authenticated as real individual customers. Related: Customer Loyalty in Ecommerce: The Surprising Benefits of Online Fairness.

These vibrant communities help in increasing the value of NFTs. Ethereum is the most popular blockchain out there. While the launch wasnt issue-free, Niftys managed to sell 100,000 NFTs without charging users gas fees or cancelling and postponing the launch. (I own a VeeFriend as well.) For instance, CryptoPunks recently signed a deal with United Talent Agency to let the agency represent the project for TV, games and other media. Some of these red flags will be obvious to you and are easy to identify, while others are trickier. In this article we outline the 9 necessary steps for a successful NFT drop from start to finish. Its used to prevent illegal activity like money laundering, funding of terrorism, and tax evasion. Likewise, among marketplaces, you can pick and choose where you would like people to buy your NFT collection. You want NFT owners to feel like they're part of the experience. Koala Intelligence Agency perhaps does the best job of this, by making its tokens "agents" and giving owners missions. We mentioned earlier that a doxxed team is a positive sign for a project.

RELATED: 11 Exciting NFT Trends Shaping the Future of Non-Fungible Tokens. So what makes a good NFT project? The most obvious example would be the blue checkmark on the most well-known NFT collections.

We are going to start off with the positive indicators, which will help you fill up a pipeline of prospects. This makes sense because media exposure helps build brand recognition and if the project vision is to become a streetwear brand, then brand building to by far the most crucial part of the endeavor. Holders of an NFT of a project are financially invested and their incentives are aligned with those of the team. NFTs can be anything in data form.

Gala Games also has NFTs, but it takes customer service to new levels and has one of the most engaged and helpful Discord servers I have ever seen. They work by redirecting website visitors from a site into a customized waiting room. Once a project is successful and has an established style, its relatively easy for other talented artists to imitate it and thereby fill the gaps. A key element of making the NFT space fairer is proof of personhood (PoP). How can you create an NFT community and deliver fairness and lifetime value? What makes a good NFT collection is not the number of mints you do. Establish social media channels (Twitter and Discord are the main areas NFT enthusiasts spend their time, but its also worth considering Instagram, Reddit, and Telegram), Reach out to NFT influencers and consider donating NFTs to them for support, Create promotional videos, photos, and written content, Create a presale sign-up form and mailing list, All major partners and third-party services are informed about the drop, Staff know their responsibilities and have clear channels of communication, Customer service ready and people are monitoring social media channels, Technical support is monitoring for issues and have plans in place for quick solutions. The days of physical brand building, which has helped companies such as Nike, Gucci, etc., create their followings, is being replaced by a digital metaverse with a cult following. They use strategies such as community engagement, opinion polls, extra benefits and more. The Apes exist in a future where early crypto investors, wealthy beyond belief, gather at a yacht club with like-minded Apes. Please make sure that you have done your own research before investing and never invest more than you are willing to lose. So without much further ado, lets get started. As the name suggests, PoP means each participant is required to prove theyre a real person. Virtual waiting rooms have made a splash in the NFT market because they enable fairness while also fulfilling Vitaliks criteria of avoiding races and creating fun for customers. NFTs easily create scarcity, which has made the assets more valuable. These contracts are crucial to the value proposition you give buyers. Most NFT marketplaces have different benefits and customers, so its worth exploring your options before you choose where to launch your NFTs. It also doesnt mean they cant turn it into a successful project. You need to understand the following steps in detail to build a successful NFT project. Will you mint the NFTs, or will you allow the public to mint them? Save my name, email, and website in this browser for the next time I comment. It might seem counterintuitive that the art is non-essential but its true. Big swings driven by hype are usually a sign of a lot of day traders, who feed off of the pumps and subsequent dumps in order to make a profit. In this asset class, the survivors are the winners. For every NFT creator, there are two early decisions that are vital to the success of the project: where youll sell your NFTs, and which blockchain youll mint them on. Bored Ape Yacht Club, currently the most successful project to have ever existed, had all its artwork done by a freelancer for a one-time fee. Instagram, Fans of the Matrix were even more passionate than we anticipated, and as a result, the demand surpassed our expectations. Lack of price appreciation is one thing, lack of volume is another. If youve an idea or a vision, start right now. Building an NFT project is not about spinning up a series of artworks and then waiting for someone to buy them. RELATED: 39 NFT Ideas & Examples: The Wild, the Weird & the Wonderful. KYC compliance is important to consider, especially for large NFT projects because it: RELATED: Everything You Need to Know About Preventing Online Shopping Bots. Inc 500 Entrepreneur. They fade away due to technical difficulties, glitches, or a lack of focus on fundamentals. Some of the indicators are of positive nature and help to assess the likelihood of a project actually becoming successful. Forbes Agency Council is an invitation-only community for executives in successful public relations, media strategy, creative and advertising agencies. Its about the community behind it and how engaged it is. They have a clear value proposition for their community members. | How Cryptocurrency Mining Works. And that still holds true if the primary objective of the project is to create or promote some form of art (e.g. People are happy to use their platform for a chance at free NFTs or ETH. These strategies have helped create a vibrant community for them, which means more awareness and mainstream interest.

That might sound crazy but the cheapest Genesis Kong also currently costs 80 ETH ($250k). A story that your community deeply believes in. Social media is your friend.

Stay Updated. The benefits of these types of innovation are cyclical: creators give value to fans, others see this value and want to be involved, the value of the NFTs grows. While most NFTs are minted on Ethereum and sold on OpenSea, there are many larger projects which benefit from using alternative blockchains and even creating their own marketplaces. Today, the most popular NFTs are worth more than a small house in some parts of America. BAYC created a world that people could only join by buying their NFTs. Keep it clean, simple and SEO friendly. The level of interest in NFTs is growing fast. We highly recommend that you spend at least a few hours inside a projects Discord server in order to assess not only how active the community is but also how responsive the founding team is. NFTs are so exciting because fans and community drive their value. Choosing the best NFT project to invest in is not always easy. Here are three access and utility strategies for those getting involved in NFT marketing: First, improve access by stacking on the benefits and quality of what the end user gets access to. User experience and story buy-in are key. In this guide, we explain exactly what makes a good NFT project and what indicators you should look for before you invest in a project. Today, well tell you how to create a successful NFT project. Is it utility? Not every NFT project needs a community, but a vibrant community is a strong indicator of a promising project. These include but are not limited to too many mints, an excessive mint price, lack of liquidity, an anonymous founder team and lots of fake influencer accounts that are promoting the projects mint. So how can you avoid releasing an NFT collection that falls flat? The current Mutant Ape floor price is almost 8 ETH (approximately $30,000). As businesses navigate the exciting space of NFTs, many quickly realize the interest in NFTs exceeds the capacity of their websites. During high-demand product releases, it pays to be prepared.

This additionally keeps websites from crashing and payment gateways running smoothly, offering the added benefits of fair randomization, capturing the marketing hype of queues, and removing shopping bots from sales. We know the launch wasn't exactly what we wanted for our community to experience, but with the help of Queue-it we were able to effectively work on resolving issues and making things right for everyone that stuck with us. For instance, it's rare to find someone changing their profile picture to a new Nike kicks or Patek watch, no matter how valuable those assets are. This approach creates a large and diverse holder community who believe in your project, which is key to long-term success. One of them is the fact that NFTs have become mainstream and are on the verge of claiming market share from multiple markets and industries at the same time. In this case, the question of what makes a good NFT project becomes irrelevant because even if it was a good project, you still cant cash out.

If theres little demand, you may be forced to sell at a discount, even if the market price is already low. Find ways to make each person feel special, and like they're part of the story. Whatre the utilities you can provide? A lot of the early NFT projects primarily focused on the artistic aspect.

Price history also comes into play when a project has already been around for a while.

As an investor, you want to be sure that you can actually cash out of your position at a reasonable market price. When setting purchase limits, PoP and KYC allow businesses to authenticate each customer, so savvy users cant exploit the sale using shopping bots, VPNs, or multiple devices. So is this what makes a good NFT project? Every Veefriend doubles as a ticket to the exclusive VeeCon conference.

Imagine this for a second. With the NFT economy being community and creator driven, creating a fair NFT launch is an important way to show customers you care and your project can be trusted. Every successful NFT project adopts different but similar brand-building strategies. If a project makes the headlines of big media outlets, the additional exposure for that project will almost certainly increase its likelihood of success. For early investors who bought their Ape for 0.08 ETH, they could sell their NFT Mutants and Dogs at a massive markup without parting with their original Apes. In fact, make sure you check out the lists of music NFT marketplaces and photography NFT marketplaces that weve put together. KYC is a requirement for almost all financial institutions, from banks to stock brokerages to cryptocurrency exchanges. Do they double as tickets to an exclusive event? As for the other features, make sure to specify them right at the start. Do they even know what makes a good NFT project? Already, NFT projects are gaining mainstream interest from celebrities and sports stars. You may want to invest in a project for its real-life utility or the social credit that it gives you in public. NFTs enable objects and data on the internet to be valuable. But if theres little trading volume, then its also an increased risk for investors. But you can make it easy by knowing youre why. Will you take royalties from resale of the NFTs? Will your NFTs live on-chain or off-chain? NFTs or non-fungible tokens are pieces of data stored on the blockchain. There are no hard and fast rules, but they are more like guidelines that you can follow. Similarly, NFT projects are already getting mainstream coverage. If you're getting involved in creating and marketing NFTs, the thing to keep in mind is deep involvement from your audience. There are many reasons to build an NFT project. How much should be the maximum mint amount? Opinions expressed are those of the author. In fact, marketplaces like NFTically will enable you to launch your NFT collection integrated with multiple marketplaces and blockchains simultaneously. Value is both subjective and objective. So, write it down. NFT Enthusiast & Consultant. nft Every NFT project is a story at the end of the day. If youre thinking about starting an NFT project of your own, well done! So spend the time leading up to the release getting as much visibility for your NFTs as possible. Its easier for anonymous teams to abandon a project if their personal reputations are not on the line. This is done through bot protection features and enqueue token SDKswith unique user identifiers, meaning only authenticated users can pass through the queue and onto the website. Many get priced out of buying, others lose gas bidding wars, and others leave frustrated, having spent more than they intended or than was advertised. Although NFTs as a phenomenon are here to stay, remember that your NFT project will become successful when lots of different people see value in them. But that does not mean you cannot start your online community right now! A few key ingredients shared by successful NFT projects include: Theres no better product launch result than a quick sell out. You or the public?

Expertise from Forbes Councils members, operated under license. Remember that for every successful NFT drop, there are dozens of others who dont get it right. And if youre wanting fans and customers to continue to hype your NFTs, you need to create value that lasts. A project with a history of stable growth and only limited hype-driven swings is usually a better investment because they are an indicator of long-term holders. Even mainstream brands are watching the NFT scene. For instance, CryptoPunks tokens, pixelated humanoid characters that were given away for free back in 2017, were worth a minimum of about $400,000 when I wrote this. So, once you have your NFTs ready for release, its time to get people excited about them. With increasing NFT prices many late investors obviously want to know how the team plans to bring additional value to its holders which will help increase the tokens price. As a result, this is the best time to launch. VeeFriends, for example, has gone beyond its initial promise to buyers by creating a Pre-Launch Program (PLP). This suggestion may seem like a no-brainer, but it is the most important one. Do you give owners the intellectual property rights to the NFTs? Global, 24/7 markets for anything you can think of. Thus, NFT projects are already on the path to becoming global brands, led by art, incredible marketing and community building. Given the value that many NFT projects already have, their brand appeal will likely only increase with time, and they can create a metaverse as popular Nike. On top of this, when people see the value original holders are getting out of particular NFTs, theyre more likely to participate in the next release. In a nutshell, NFTs enable digital scarcity. A few of the larger marketplaces include: Choosing a marketplace and choosing a blockchain go hand in hand. As a result, make an NFT project that has an original story.

You can keep track of the NFT prices in your portfolio by using one of many NFT tracking tools. What skills do the founders bring to the table and are they the necessary skills to pull off a successful NFT project? And even for features that arent fixed, you should establish what your NFTs will offer and include from the start. You can buy one PS5 for $500, but if you want another you need to look for it elsewhere or bid on it on eBay.

Ensure that when you get website visits, Twitter follows, or new members to Discord channels, youre delivering fresh and engaging content and product teases to get fans excited and ready for launch day. Having worked with banks, tax agencies, and crypto exchanges, Queue-it is highly familiar with KYC and can help support fairness and regulatory compliance. Smart contracts enable you to get a cut on all future secondary sales as royalty payments. Anything special or exciting? After reading this article in full, youll know exactly what makes a good NFT project. But on Twitter, you can find many people changing their profile pictures to avatars of their favorite NFT project. Some marketplaces only sell Ethereum-based NFTs, while others have their own blockchains, sidechains, and currencies. It was launched with a narrative and a vision. RELATED: How Major Retailers Are Using NFTs To Drive Sales & Boost Brand Loyalty. Ask yourself the following questions. In this article, weve covered the foundations of a successful NFT collection drop. However, the risk lies in the fact that anonymity reduces the founders incentive to act in good faith. Remember, you are buying into a vision and the likelihood of that materializing will largely depend on the ability of the founders to actually execute it. Beyond high gas fees, website crashes are a key threat to prepare against when releasing high-demand NFTs. Even on fixed-price NFT releases, however, projects quickly mirror auctions in the form of gas fees. A good NFT project usually has a healthy mix of a strong founding team, vibrant and positive community, a clear vision of how to increase value, effective marketing and elements of gamification and utility which build loyalty amongst their token holders. For example, Nike patented CryptoKicks, and other consumer brands such as Coca-Cola, Taco Belland ASICS have used NFTs as part of their marketing strategies. On the latter point, we were happy to announce that all Niftys users who queued for a Matrix Avatar will be receiving a free glitch in the Matrix NFT., NFTs Explained: Everything Your Business Needs to Know, How Major Retailers Are Using NFTs To Drive Sales & Boost Brand Loyalty, 11 Exciting NFT Trends Shaping the Future of Non-Fungible Tokens, 39 NFT Ideas & Examples: The Wild, the Weird & the Wonderful, Customer Loyalty in Ecommerce: The Surprising Benefits of Online Fairness, support fairness and regulatory compliance, Everything You Need to Know About Preventing Online Shopping Bots. So its time to put your thinking cap on. On the latter point, we were happy to announce that all Niftys users who queued for a Matrix Avatar will be receiving a free glitch in the Matrix NFT.Nifty's, Virtual waiting room for Niftys The Matrix NFT drop. What is Cryptocurrency Mining? Projects such as CryptoPunks, Bored Ape Yacht Club (BAYC), Koala Intelligence Agency, Art Blocks, CyberKongzand many more are changing brand-building approaches. Heres the answer. Always remember that features like mint amount, rarity and royalty percentages are fixed after the NFTs are minted. However, you dont need to make the same mistakes that we did and therefore some of our advice will likely be useful to you. Gas fees are payments made for validating transactions on blockchains. All Rights Reserved, This is a BETA experience.

Your NFT story has to be compelling. Id definitely say thats one example of what makes a good NFT project! But also make sure that you continue to innovate the story from time to time as and when it is required. Just like you are reading this article right now, trying to figure out what makes a good NFT project, most people tend to gravitate towards the things that have been mentioned in the media. Always remember that successful NFT projects are not made overnight. When devising your communication strategy, determine the story you want to tell, explain the value of your project early on, and be clear about the journey you want to take buyers on. Now, to be quite frank, you should always take these roadmaps with a grain of salt. Best Platform to launch your own NFT Store with Social Tokens, New NFT Projects Are Coming in 2022. Ideally, youd also want the team to be fully doxxed, meaning that their identities are public. Other indicators are something wed probably call red flags, so basically warning signs that suggest that a project might not be a good investment. If you see a new project being pumped on social media by a lot of Twitter accounts with thousands of followers (preferably with a stolen Bored Ape as their profile pic), then it might be a good idea to stay away. If youd like to find out more about the best NFT games right now, we have an excellent article on the subject. At the end of the day, its the story that captures the attention and the wallets of people. To answer that, you need to ask yourself: Successful NFT projects have these questions clearly answered before anything else. Before minting your NFTs, dig deep into the different options available and choose whats right for your project. A good example of this is CyberKongz, where each holder of a Genesis Kong receives 10 $BANANA per day. With tons of projects and tokens, the NFT subsector is worth billions of dollars, making it a fast-growing subsector in the cryptocurrency and blockchain scene. If you are anonymous, you have few consequences to fear if you mess up. This is the basic format many high-demand product releases follow, from ticketing, to sneakers, to PS5 and AMD graphics card drops. Some popular ones include NFTically, MakersPlace, etc. NFTs arent currently regulated by KYC, but with the market growing fast, and concerns about scams and money laundering, many suspect they soon will be.

Good trade volume also means that the projects treasury is filling up with funds to spend on growing the project. The question isnt what makes good NFT art, but what ingredients make a successful project. Each major spike in fees is associated with a high-interest NFT project. And the commitment to the vision and community drove continued value. Doxxed teams are more likely to pull through in the long run. And by implementing a 10% royalties function, Gary has made an estimated $150 million just off resale. They are rarely interested in the long-term viability of a project. PwC Cloud and Digital Transformation BrandVoice, How To Earn Cash Rewards For Everyday Spending. The most successful NFT projects communicate the purpose of their existence. As GaryVee has said on multiple occasions, roadmaps are nothing but a startups pitch deck. How to Make Money With NFTs as a Beginner.

Whether its images, videos, avatars, or merchandise, theres one core question you need to answer: why should people buy your NFTs?

While you can take the help of marketplaces to help you understand how to navigate through these, it is better if you decide for yourself. Twitter, Discord, Instagram, Telegram etc. When fans are excited and ready. Who will mint the NFTs? This was the case for both Gary Vaynerchuk and the BAYC creators, with their follow-up releases selling out far quicker than their original ones. As buyers fight over a limited supply of NFTs, they bid against one another on whose transaction will go through. If you take nothing else away from this guide, consider and answer these seven essential questions for a successful NFT launch: With these questions answered, and all the steps on this checklist ticked off, your project will be set up for success. 1 $BANANA is currently worth $26, so that means $260 per day. NFTs as access passes are a growing theme. With NFTs approaching the mainstream, its getting harder for new NFT collections to stand out from the crowd. The more excitement surrounding your NFTs, the more value people will ascribe to them. Most of the mechanisms are designed to incentive holding tokens for as long as possible and not list them on marketplaces. A big community of followers is not only an effective tool in marketing a project, it can also become a core value proposition. The project had a roadmap which detailed its future and what it would give back to early buyers. As mentioned in the last section, a high holder count will usually result in more stable prices. Now that weve established what sort of indicators will help you choose a big basket of prospects, lets have a closer look at the early warning signs of a scam or simply a bad project. PR is a hugely underestimated marketing tool. Twitter As a consultant with my own agency, I see a lot of projects early on. BAYC has many different "traits" (visual properties) for its 10,000 NFTs. Do not underestimate the significance of this question. As users flood websites, hyped NFT releases have crashed marketplaces from OpenSea toChristiestoMakersplace. We asked a representative from Niftys how they handled massive demand and dealt with the issues that come with selling at scale: Fans of the Matrix were even more passionate than we anticipated, and as a result, the demand surpassed our expectations. The NFT giveaway, for example, is popular because it works. Non-fungible tokens or NFTs took the world by storm in 2021. Even for NFT collections that strive for fairness and diversity by selling at a low initial cost, customers end up competing over NFTs through gas bidding. Make sure they fall in love with your NFT, story or project. Every successful NFT project ensures that its community members continue to benefit above and beyond what was promised. The utility was built into the NFTs from the start. You can identify these fake accounts by the constant giveaways that they organize. Major available blockchain options include: Each blockchain has different benefits, proponents, and selling points. A good example of such a project is Veefriends by GaryVee. The first category involves some form of real-life utility, such as access to a conference, exclusive access to a high-end restaurant chain or in its simplest form, access to merchandise. If a project has already done a couple of mints and still hasnt gained notable traction, then its definitely a red flag. By limiting the outflow from waiting room to transaction page, NFT launches can spread transactions out over a larger period and avoid gas wars among customers. Do you really think thats what makes a good NFT project? But youre also confused because you dont know what to look for in an NFT project? For every issue-free NFT drop, there are dozens that suffer technical difficulties, website crashes, and exploitation by bots and attackers. But is that really what makes a good NFT project? Where they did face issues, Niftys showed their commitment to fairness and the community by giving out free NFTs to those affected. This means that the median buyer paid 1.49 ETH per NFT, when the price of the project was set at 0.07 ETH. Less listed tokens mean that supply is limited and with growing demand, the price of the tokens will go up as well. They're also revolutionary when it comes to branding. BAYC call bonding curves a Ponzi scheme, emphasizing their fair fixed pricing model. Home > NFTs > Learn > NFT Investing: What Makes a Good NFT Project? Its the NFTs that sell out fast that make headlines, capture the attention of NFT enthusiasts, and realize increased value on the secondary market. Paradigms chart below shows the Ethereum gas fees in the month of September 2021. And alongside these big players, NFT collections by artists, developers, and creators of all kinds are thriving and seeing major success. Unless you've been living under a rock, such as the EtherRock that recently sold for $1.3 million, you've probably heard about non-fungible tokens(NFTs). Ambition and success go a long way towards achieving what you want. Its amongst what makes a good NFT project. NFT Tax Guide: In What Ways are NFTs Taxed? There are other blockchains where you can launch your project on. And once you have that list of prospects, you can eliminate those with obvious red flags. And the most successful projects tell a compelling story to ensure their audience understands the same value propositions. But, first lets understand some basics about the metaverse and NFTs in general. You may opt-out by. We know real-world objects are scarce in their nature to have value. So if someone asks what makes a good NFT project, the roadmap shouldnt be your first response.

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what makes a successful nft project