We all have heard a lot about NFT. Literally a lot, like what are NFTs, why people buy NFT marketplace, how to create your own NFT, and how they fueled the rise of crypto’s prevalence in the last few years. There is still a lot to talk about NFT. And trust me, most of the information is boring and irrelevant.
With so much information available on the internet, you may have mastered many things about NFT, but I am sure about one thing. Nobody has ever told you about the problems related to NFT. Right?
Well, don’t worry. In this article, I am going to highlight some problems that are actually not so serious but many people are concerned about it, and how you can resolve them smartly.
- Cost and Sustainability
Almost all the NFTs are created on the Ethereum blockchain. Now, this blockchain is very costly to use because people pay Ethereum miners for transactions which is a better-decentralized option to manage things, but the prices are gotten hard to afford.
Transactions usually cost 20 dollars to exchange your currency or get ownership of your NFT. The other thing is, that mining is also an extremely frustrating and energy-intensive process. On top of that having a chain run by mining is probably not sustainable in long term.
But that’s not much big deal today. The solution to the costs and sustainability issue is to move to some more modern and reliable blockchains. For example, Telos, which operates on a Proof-of-Stake system, which is comparatively fast, offer free transactions as well as has the lowest energy usage.
- Creating and Purchasing is Tedious
When I first thought to create my own NFT, I was super nervous because I read a lot of bad reviews about it. I heard that people think creating NFT is very tedious.
All the process of creating and purchasing is very time-consuming and requires much effort. But when I actually got into this, I felt like it was a very short-term problem – because luckily, I got myself connected with a reliable NFT agency that helped me create my NFT and also offered to promote it using different digital marketing methods.
You just have to share your idea and the experts will guide you throughout the process. Even if you have an NFT that you want to sell, you can easily enlist it into different marketplaces and make it available for selling.
- A Loose Link Between NFTs and the Assets it Refers to
A problem that seems too big to NFT buyers and sellers.
There is a loose link between your NFT and the asset it refers to. Just think, what’s the point of purchasing an expensive NFT when people already have access to IPFS that allows them to download a simple “cat gif” for free?
Well, the solution might seem simple to many people, but trust me, it’s very tricky to implement. It requires encrypting your digital asset file and then offering your NFT buyer a unique code so they can unlock the file.
Now, this simply means that you can easily download the locked file, but only the person that has a proper password will be able to unlock this file as well as access the asset.
There is one technical hurdle. All blockchain and IPFS are open to the public. Everybody can see them. So, it is quite difficult to hide a password when people have access to see it on-chain.
- Finding the Best Marketplace to Mint NFT
The next big hurdle is finding the best marketplace that helps you mint NFT. Finding a place where you can list it for the public and buyers and sellers can easily see it if they want to purchase it.
But the issue is, that all these marketplaces are quite expensive. You have to pay them exorbitant amounts of money to get to list your NFT. And even after that, there is still no guarantee that your NFT will get desired visibility and exposure.
These platforms support different kinds of digital assets including sound recording, art collectibles, photography, and many more.
If you want to go the extra mile, you can even launch your own NFT marketplace and invite others to list their NFTs.
So, What is the Future of NFT?
You must be wondering what is the future of NFT? Should I consider it or not?
Well, the biggest benefit of having your NFTs is – they are here to stay. Though they have been launched in a minimum viable product state, but they are still trending in the market due to their use and effectiveness.
They have generated a need in the saturated marketplace as it’s just a way for the average person to show ownership of their favorite digital asset and display it in the public.
NFT has opened up an exciting new world of possibilities, which is not only for artists but for any kind of contract situation or licensing. So, the user experience and NFT application may get easy and ubiquitous.
NFT can make you a millionaire, even a billionaire – if used correctly. High-profile NFTs sell at anywhere from five to seven figures. A low-profile NFT can sell for hundreds of dollars. This makes NFT creation and development a lucrative process that has a lot of worth if implement carefully.
The above problems are really not so big if you take serious steps. So, if you were planning to develop your NFT or want to buy or sell these digital assets, then make sure you get professional help before getting started as there are lots of elements that can be handled by NFT agencies.