OpenSea

OpenSea launches advanced NFT marketplace aggregator

The launch of OpenSea Pro is the result of OpenSea’s acquisition of NFT aggregator Gem in April 2022.

NFT marketplace OpenSea has unveiled OpenSea Pro, its new nonfungible token (NFT) marketplace aggregator aimed at serving the needs of professional users. OpenSea’s acquisition of NFT aggregator Gem in April 2022 enabled it to develop and refine Gem’s platform to create the new OpenSea Pro.

Allow us to reintroduce ourselves

Starting today, Gem V2, the best-in-class NFT aggregator, is now OpenSea Pro!

➡️⛵️

OpenSea Pro will still be run by the same Gem team you know & love, but with unified brands we are able to offer users MUCH more

Let’s dive in pic.twitter.com/pyt6QnjW7b

— OpenSea Pro (@openseapro) April 4, 2023

According to the announcement, OpenSea Pro seeks to offer a new level of optionality, selection, and control for professional collectors. The platform plans to offer a suite of improved features that allows collectors to discover the best deals and insights across 170 marketplaces and access sophisticated tools that meet their need for automation.

In addition, OpenSea Pro has introduced an “advanced orders” feature that allows users to “sweep across the deepest liquidity of any NFT marketplace aggregator,” giving users more control over their purchases. OpenSea Pro is also mobile-compatible and optimized for mobile devices, allowing users to browse, sweep and list from their phones.

The platform shared that users can list on OpenSea with 0% fees through OpenSea Pro for a promotional period, with no additional fees. To express gratitude to Gem’s early adopters, the Gem team is providing a special “thank you” in the form of a Gemesis NFT drop to coincide with the launch of OpenSea Pro. Eligible users who purchased an NFT on Gem before March 31 can claim a free Gemesis NFT until May 4,.

In 2022, OpenSea acquired Gem for an undisclosed amount to improve the experience of its more seasoned “pro” users. Gem enabled traders to purchase NFTs across various collections and multiple marketplaces in a single transaction, lowering gas fees.

1/ Exciting news!

To invest in the “pro” community and continue improving the OpenSea experience, we’re excited to share that we’ve acquired @gemxyz !

Read more in the official announcement blog, and below https://t.co/IBn38f2d3U

— OpenSea (@opensea) April 25, 2022

In February, OpenSea implemented a strategy to win back its NFT user base, which had been lost to rival NFT marketplace Blur. Blur had surpassed OpenSea in daily Ether (ETH) trading volume as users sought a trading platform that favored their NFT investments. To counter this, OpenSea implemented a 0% fee policy to attract users back to its platform.

AI has a role to play in detecting fake NFTs

Artificial intelligence is going to be a key component in cracking down on the growing number of counterfeit non-fungible tokens (NFTs).

Beyond all the good a permissionless internet promises, it also makes it convenient for anyone to freely mint pirated nonfungible tokens (NFTs). There are in fact over 90 million fake copies of NFTs. Because in a permissionless system, what’s to stop bad actors from creating copymints to scam unsuspecting users or damage a brand’s reputation?

Only the top 20 most copied NFT projects account for 8 million fake copies across NFT marketplaces.

Since NFTs are valuable only because of their uniqueness, such copycat NFTs are fundamentally worthless for consumers. They imply a massive reputational cost besides financial loss for buyers and creators. This is particularly detrimental to a nascent and emerging industry like NFTs.

The “nonfungibility” and rarity of NFT assets are pivotal to their value proposition. These are the qualities bringing long-term adopters to this domain. But although the on-chain “token” itself may be unique and nonfungible, the content mapped to it through metadata can be tampered with, replaced or even removed. This is among the key technical challenges facing NFT innovators today.

It’s apparent now that NFT marketplaces need to step up to protect consumer and creators’ interests against copyminting, forgery and intellectual property violations.

But the big question for them is: How do you protect users from copymints while keeping the ethos of a permissionless and decentralized internet intact?

Copyminting has grown alongside NFTs

NFT sales counts topped 101 million in 2022, nearly 67% higher than in 2021 despite widespread bearish trends. The total monthly NFT trading volume reached $1 billion across marketplaces in January 2023, and the industry is on track to become a $231-billion market by 2030. NFT trademark filings also scaled new heights in 2022, further illustrating the industry’s rapid growth. But the demand for NFTs is growing not just among adopters but also among malicious actors.

Copyminting is among the most common scams involving NFTs. This method involves attackers deceiving buyers into thinking that their collection is original. Whereas in reality, it’s merely a copy or rip-off of another NFT, albeit a popular one. For example, Bored Ape Yacht Club has 10,000 original NFTs and more than 4 million counterfeit NFTs.

Most often, copymints simply make minor tweaks to the original collection, such as highlighting, mirroring, adding borders and pixelating originals. Some other methods include resizing, color swapping and adding unintegrated texts or emojis.

Scammers also often use filters to create fake NFTs. Sometimes copyminters put up pixel-to-pixel replicas from accounts bearing fake blue check marks and unauthorized copies of brand logos. This makes it even more difficult for users to differentiate between original and fake collections.

And with hundreds of NFTs listed across marketplaces every day, manually checking them for counterfeits is becoming increasingly challenging.

AI can restore authenticity and originality to NFTs

One way to prohibit fake mints is to revoke the “permissionless” nature of an NFT platform and limit the rights to mint NFTs. However, that would go against Web3 ethos, leaving NFT marketplaces in a tough spot.

NFT marketplaces, brands and creators need solutions that can effectively detect fakes without the need to restrict access or gatekeep these platforms. Artificial intelligence-powered content recognition and fraud detection systems are doing wonders to this end.

They can distinguish between originals and fakes to degrees impossible to the naked human eye. Particularly with the ever-increasing number of NFT projects, AI models are an anti-counterfeit game changer. These solutions can process hundreds of millions of assets per day with 99.9% accuracy.

In fact, some of the largest NFT marketplaces — including OpenSea and Rarible — have recently started using AI solutions to help with near real-time copymint detection. That means the AI solutions can assess new and existing collections for a wide range of parameters. Based on the results, they can detect potentially fake NFTs and either take them down instantly or notify marketplace moderators to take further action.

Although copyminting currently troubles stakeholders across the NFT landscape, innovative solutions like these can usher in a better future. By recognizing counterfeits vis-à-vis the immutable, on-chain data for the originals, they can restore the authenticity and originality of NFTs.

Doing so will go a long way to boost investor confidence, attract more institutional capital and strengthen adoption. And these are among the most valuable assets for NFTs as they mature into a mainstream industry.

Andrey Doronichev is a co-founder of Optic, AI powered content recognition engine. He is passionate about building digital creator ecosystems. Previously served as Product Director at Google, where he helped to launch its Metaverse initiatives, including AR, VR and Stadia and led YouTube Mobile to launch ContentID.

This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

Web3 creators at higher a loss for royalties than anticipated: data

New data from research by eBit Labs and LiveArt marketplace reveals that the previous estimates of creator royalty losses, which were around $35 million, may be much higher.

The nonfungible token (NFT) space has been a proven gateway for helping users take their first steps into the Web3 space. This is particularly true when it comes to artists and creators using Web3 tools to enhance their work.

However, new data from eBit Labs and LiveArt marketplace reveals that the loss of creator royalties over the past year in the NFT space could be higher than estimated.

According to the data, after the emergence of the Blur marketplace in October, two of the leading NFT collections — Bored Ape Yacht Club (BAYC) and Mutant Ape Yacht Club (MAYC) — experienced shortcomings in royalties of around $20 million alone

The new data involving BAYC and MAYC shortcomings then points to previous estimates of $35 million in royalty shortcomings likely being too small.

*Figure 1: Fees paid vs shortfall for the Bored Ape Yacht Club NFT collection. Source: eBit Labs*

Creator royalties have been a big topic of discussion in the NFT space. After briefly halting creator royalties and then receiving severe community backlash, the OpenSea marketplace said it would enforce creator royalties on all listed collections.

Back in November, the founders of BAYC proposed a new model for NFT creator royalties that would keep NFT transfers between wallets free.

*Figure 2: Fees paid vs shortfall for the Mutant Ape Yacht Club NFT collection. Souce: eBit Labs*

Back in September, MagicEden, another prominent NFT marketplace, defended its own NFT royalty enforcement tool. The tool gives creators the ability to flag an NFT or blur the image if the listing or trade bypasses royalty rules.

Nonetheless, Boris Pevzner, the co-founder and CEO of LiveArt, said that despite the Web3 ecosystem touting itself as a “creator-centric space,” the new data shows reality falling short of this promise.

“The shortfall in royalties clearly indicates that the current system is not working as it should.”

Pevzner continued to say that if NFT marketplace wars repel artists from wanting to participate in the industry, “the space will lose its creative spirit and become more like the stock market.”

The marketplace wars Pevzner refers to primarily reference the entrance of the Blur marketplace onto the scene, which has targeted OpenSea’s market share.

Magazine: 4 out of 10 NFT sales are fake: Learn to spot the signs of wash trading

NFT wash trading increases by 126% in February: Data

The NFT market saw an uptick in wash trading following a recovery in NFT marketplace trading volume, which hit $1.89 billion in February.

The top six nonfungible token (NFT) marketplaces saw a rise in wash trading for the fourth straight month, with a total volume of $580 million.

According to a new report from CoinGecko, February 2023 witnessed a 126% increase from the previous month’s volume of $250 million. As for the reason for the jump, the report points to a correlation with the overall recovery of NFT marketplace trading volume, which hit $1.89 billion in February.

Wash trading refers to the manipulation of trading volume or price through repeated transactions.

The six marketplaces included in the report are Magic Eden, OpenSea, Blur, X2Y2, CryptoPunks and LooksRare. X2Y2, Blur and LooksRare played the largest roles in February’s wash trading volume, with $280 million (49.7%), $150 million (27.7%) and $80 million (15.1%), respectively.

*NFT wash trading volume, January 2022–February 2023. Source: CoinGecko, Footprint Analytics*

The marketplaces have previously incentivized users to increase trading volume via transaction rewards.

The other two marketplaces, Magic Eden and OpenSea, reported $590,000 and $42.57 million in wash trading, respectively. CryptoPunks, on the other hand, didn’t see any NFT wash trading, according to the report.

The CoinGecko report reveals that NFT washing trading made up a combined 23.4% of “unadjusted trading volume” across the industry’s six largest marketplaces.

While wash trading is illegal in traditional financial markets, the issue can be found in both the broader crypto space and with NFTs due to a lack of clear regulations.

Back in January, investor Mark Cuban said that wash trading will cause the next “implosion” in the crypto market. Meanwhile, new artificial intelligence-based technology has surfaced aiming to troubleshoot issues in the NFT market, including wash trading.

As reported by Cointelegraph on March 16, a scam recently surfaced involving websites promoting fake BLUR token airdrops, resulting in $300,000 being successfully stolen.

OpenSea patches vulnerability that potentially exposed users’ identities

Cybersecurity firm Imperva found a vulnerability that could be used to leak user information such as email addresses and phone numbers, which has now been patched.

Nonfungible token marketplace OpenSea has reportedly patched a vulnerability that, if exploited, could have exposed identifying information about its anonymous users.

In a March 9 blog post blog, cybersecurity firm Imperva detailed how it discovered the vulnerability, which it claimed could deanonymize OpenSea users “by linking an IP address, a browser session, or an email in certain conditions” to an NFT.

As the NFT corresponds to a cryptocurrency wallet address, a user’s real identity could be revealed from the information gathered and linked to the wallet and its activity, Imperva explained.

Imperva Red Team discovered a cross-site search vulnerability affecting the #NFT marketplace #OpenSea.

This vulnerability allows for the deanonymization of users, potentially revealing a user’s identity. https://t.co/nGQWceeGEc

— Imperva (@Imperva) March 9, 2023

The exploit is understood to have taken advantage of a cross-site search vulnerability. Imperva claimed OpenSea had misconfigured a library that resizes webpage elements that load HTML content from elsewhere that are typically used to place ads, interactive content, or embedded videos.

As OpenSea didn’t restrict this library’s communications, exploiters could use the information it broadcasts as an “oracle” to narrow down when searches return no results as the webpage would be smaller.

Imperva detailed that an attacker would send their target a link through email or SMS, which if clicked “reveals valuable information, such as the target’s IP address, user agent, device details, and software versions.”

*Screenshot of OpenSea’s front page. Source: OpenSea*

The attacker would then use OpenSea’s vulnerability to extract the NFT names of their target and associate the corresponding wallet address with identifying information such as an email or phone number which was sent the original link.

Imperva said OpenSea “quickly addressed the issue” and properly restricted the library’s communications, reporting that the platform “was no longer at risk of such attacks.”

Users of the platform have long been victims of attacks that mimic OpenSea’s functions to undertake exploits, such as phishing websites that resemble the platform or signature requests appearing to originate from OpenSea.

OpenSea itself has faced criticism for its platform security due to a major phishing attack in February 2022 that resulted in over $1.7 million worth of NFTs being stolen from users.

As for the recent patch, it’s unknown how long it existed or if any users had been affected by the exploit.

OpenSea did not immediately respond to Cointelegraph’s request for comment.

Nifty News: Jimmy Fallon wants exemption from BAYC trademark case

Jimmy Fallon wants out of the BAYC trademark case, while Blur is responsible for the NFT market’s three-month high.

Lawyers for Jimmy Fallon, star of NBC’s long-running comedy and variety series The Tonight Show, have filed a petition to “quash” a subpoena requiring him to testify in the Yuga Labs Inc. v. Ripps et al. case.

The lawyers claim that Fallon has no connection to the dispute, is not a party to the Ripps litigation, and has never met or interacted with Ryder Ripps, creative director of OKFocus or Jeremy Cahen, one of the founders of the alleged Bored Ape Yacht Club (BAYC) “copycat.”

Yuga Labs is suing Ryder Ripps and Jeremy Cahen for issuing a “copycat” nonfungible token (NFT) collection that resulted in trademark infringement, false advertising and unfair competition. The ongoing case has highlighted intellectual property and trademark rights within the NFT space.

While Fallon acquired a Bored Ape Yacht Club NFT and talked about it on his show, he has nothing to do with the Yuga Labs and Ripps case, according to the petition.

Fallon is also a co-defendant with Paris Hilton in a separate securities litigation involving Yuga Labs.

Getty Images and Candy Digital to sell NFTs from Archives

Getty Images is partnering with NFT platform Candy Digital to offer rare photos in NFT form, starting with photographs from its 1970s music and culture collection.

In a tweet, Candy Digital revealed that the collection includes works by Don Paulsen, David Redfern and other photographers depicting iconic figures like Elvis, David Bowie and The Rolling Stones.

*Photos from the recording 70’s image collection*

The NFTs will be available for purchase on Candy Digital’s website starting on March 21, with prices ranging from $25 to $200. The release will be available to buyers in several countries, including the United States, the United Kingdom and Japan.

This partnership comes as the NFT market shows signs of growth, with marketplace volume increasing for the fourth consecutive month in February.

Forkast launches NFT price tracker indices

Forkast Labs, a data intelligence service formed by the merger of Forkast.News and NFT market tracker CryptoSlam, has launched a series of NFT indexes to provide real-time insights into the digital asset economy.

The Forkast 500 NFT index will measure performance across 21 blockchains, including Ethereum, Solana, Polygon and Cardano, and is designed to be a proxy of the entire NFT market.

*Forkast 500 NFT index tracks the performance of the global NFT market.*

The indexes aim to provide a more comprehensive measure of the health of the NFT economy, which is difficult to discern using traditional market rankings based on prices, sales and transaction volumes.

NFT market hits 3-month high as Blur responsible for high trades

The NFT market is experiencing a bullish trend, according to data derived from NFT tracker CryptoSlam, reaching a 3-month high for the second consecutive day with over 125,000 trades in the past 24 hours. Trading surpassed $2.04 billion last month, up 117% from $941 million in January.

This growth is due to Blur, an evolving market that surpassed OpenSea in trading volume just this month.

Blur’s trading volume jumped over $1.13 billion in February from the month prior, a statistic that accounts for almost all of the entire NFT market’s month-over-month gains.

Blur founder Pacman puts the NFT marketplace war into perspective

Blur founder Pacman is hopeful that the major NFT trading applications will soon find a middle ground and cooperate on creator royalties.

In this episode of Hashing It Out, Pacman, the founder and core contributor of the nonfungible token (NFT) marketplace Blur, joins Elisha Owusu Akyaw to discuss how Blur has captured the attention of the NFT market.

The tides in the NFT ecosystem changed in December 2022 when the newly launched NFT marketplace overtook OpenSea as the largest NFT trading platform by trading volume. Pacman describes this as a similar situation to the progression of the general token market.

He explains that Blur created a marketplace that puts professional traders first, a niche not covered by popular platforms that prioritize a simple user experience to attract newcomers. According to Pacman, that focus makes Blur the go-to platform for the “highest growing segment” in the NFT space.

The NFT marketplace is riding a wave of newfound popularity, launching a token distributed to the community through an airdrop. Pacman argues that the token was required to give the community direct access and ownership of the platform.

“This is one of the things that really excited us as builders in Web3 because in Web2, there is a clear delineation platform and the end-user, and usually, they are somewhat opposed. The end-users don’t really have any control over the platform.“

Another hot topic in the NFT space is the issue of creator royalties. This has led to a divided approach by major NFT platforms to ensure creators receive royalties. The two major platforms, OpenSea and Blur, have adopted systems that place new collections in a position where they are required to pick one over the other. According to Pacman, Blur is asking creators to block OpenSea to earn royalties as a short-term solution that will lead to a more unified approach in the future.

Other issues discussed in the episode include:

Blur vs. OpenSea
NFT liquidity
NFT creator royalties
Blur token and tokenomics
Economic models of NFT marketplaces

Listen to the latest episode of Hashing It Out on Spotify, Apple Podcasts, Google Podcasts or TuneIn to get all the insights on crypto and artificial intelligence. You can also check out Cointelegraph’s catalog of shows on the new Cointelegraph podcasts page.

NFT aggregator Blur eyes 30% price pump by March amid airdrop euphoria

BLUR price is also forming a Doji candlestick pattern on its four-hour chart, hinting at a bullish reversal ahead.

Blur’s BLUR token could rise by up to 30% by March 2023 owing to a mix of technical and fundamental factors.

Blur airdrop hype

Blur is a nonfungible token (NFT) aggregator that indexes digital art listings across various base marketplaces like LooksRare and OpenSea. In doing so, the aggregator allows users to trade across all NFTs marketplaces via a single interface.

Since its launch in October 2022, Blur has become the leading NFT aggregator, accounting for 40% to 60% of the daily NFT trading volume, according to data tracked by Messari.

*Blur versus other NFT marketplaces’ volumes. Source: Messari*

The period has also witnessed the Blur team airdropping free BLUR tokens to users who have traded Ethereum-based NFTs in the past six months. On Feb. 15, Blur officially launched its native token of the same name, allowing airdrop recipients to trade it for fiat money and other crypto assets.

According to Dune Analytics, Blue has airdropped 360 million tokens to its users. Interestingly, users have claimed nearly 339 million BLUR in the first six days of the launch against the 60-day deadline.

Typically, traders dump airdropped tokens early to secure an instant profit. Nonetheless, BLUR’s price remains approximately 25% higher than its market debut price of $0.88, suggesting that most traders have decided to hold it longer.

One reason could be the Blue team’s intention to conduct another airdrop in the coming months. The news coincides with Blur’s total-value-locked (TVL) metric reaching a record high of 76,490 Ether (ETH), according to DefiLlama.

*Blur TVL performance. Source: DefiLlama*

“Blur airdrop reminds me of the Uniswap airdrop,” noted independent market analyst Nekoz, adding:

“Early sellers sold for a ps5. Diamond hand sellers sold it for 5 figures. Imo if you don’t need the funds, just chill with it. It will be the number 1 NFT platform.”

BLUR price Doji reversal

BLUR price technicals are also hinting at a bullish scenario being more likely.

On the four-hour chart, BLUR has painted a Doji pattern at the end of its short-term correction phase. That is confirmed by the four-hour candlestick with almost the same open and close levels and extreme bearish and bullish wicks.

The Doji shows indecisiveness among traders about the next market bias. But coupled with BLUR’s other technical indicators — namely, its short-term support level of around $1 and a neutral relative strength index — it appears the Doji may result in a bullish reversal in the coming weeks.

*BLUR/USD four-hour price chart. Source: TradingView*

In other words, BLUR’s price may bounce from its $1 support level to eye an interim rally toward $1.21, which has served as resistance and support in recent sessions. Moreover, an extended run-up could push the price to $1.39, or BLUR’s recent peak, by March 2023.

Bearish arguments

Despite solid fundamentals, BLUR’s price could see an extended correction below its $1 support level, per the technical setup shared by analyst Altcoin Sherpa.

The chartist maintains his short-term bullish bias for BLUR but anticipates its price to fall toward $0.94 first, saying that it “should provide a solid bounce.”

*BLUR/USD hourly price chart. Source: TradingView, Altcoin Sherpa*

He also argues that BLUR’s market bias will take cues from how Bitcoin (BTC) performs in the coming sessions.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

How to buy and sell NFTs on Polygon

Offering low fees and fast transaction finality, Polygon has emerged as the primary blockchain platform for various NFT marketplaces.

While cryptocurrencies have been quite the rage over the past couple of years, nonfungible tokens (NFTs) have risen as an alternate asset class within the cryptocurrency ecosystem. This ecosystem is revolutionizing the world of art and gaming, among a host of other industries.

Serving as a digital certificate that proves a collectible’s authenticity, NFTs also provide investors with proof of ownership and utmost security, aspects that have been instrumental in their proliferation as the future of representing real-world objects in the virtual world.

As a result, NFTs are gaining increasing popularity among crypto investors looking to invest in metaverse platforms, with many purchasing these unique digital assets on blockchain protocols like Polygon using cryptocurrencies. A layer-2 Ethereum protocol, Polygon has emerged as the preferred platform for many NFT marketplaces that offer investors the opportunity to create, buy and sell NFTs.

Understanding the Polygon blockchain

Designed to address Ethereum’s scalability concerns, the Polygon network acts as a parallel blockchain or sidechain that runs alongside the Ethereum blockchain and uses a proof-of-stake (PoS) consensus mechanism to validate on-chain transactions.

Apart from providing the security, interoperability and smart contract features of the Ethereum blockchain, Polygon boasts significantly lower transaction fees, or gas, and offers developers a much higher degree of flexibility and scalability than that provided by Ethereum.

In fact, Polygon has come to be known as a multichain network of Ethereum-compatible blockchains. This is largely due to its ability to deploy other blockchain networks and enable communication among them, making it most suitable for developing decentralized applications (DApps).

With its Finity Design System and Polygon Bridge, developers can not only build cross-platform DApps but also connect them to other compatible blockchain networks to transfer assets such as ERC-20 tokens and NFTs to the Polygon sidechain. Consequently, developers prefer Polygon to create NFT projects that have a high frequency of low-value transactions. They also use it to set up NFT marketplaces that enable users to list NFTs for a small fee.

How to create free NFTs on Polygon

To facilitate artists and content creators in jumping onto the NFT bandwagon, a number of platforms using the Polygon blockchain to host nonfungible tokens offer their users the ability to mint NFTs for free. Polygon NFT marketplaces such as OpenSea and Rarible provide the option of “lazy minting,” a functionality by which nonfungible token creators can monetize their content with no upfront cost involved.

It is because the NFT in question is actually minted when a user buys it. As a result, not only does this reduce the number of transactions that get relayed onto Ethereum but it also ensures that the buyer pays for the applicable gas rather than the NFT creator.

In terms of the steps to follow, an NFT creator needs to first select or create a digital file that will be converted into a bespoke nonfungible token. This file could be an image, video, GIF or even a song that will be used to create an immutable version of it on the Polygon blockchain.

Even in the case of “lazy minting,” it is necessary for the NFT creator to have a crypto wallet with sufficient amounts of Polygon’s MATIC or Ether (ETH) tokens available to cover any fees that may be applicable at a later stage.

Once both of these requirements are fulfilled, a nonfungible token creator needs to choose from the different NFT marketplaces available on Polygon and connect their crypto wallet to sign in. After completing this step, the digital file needs to be uploaded onto the marketplace.

To do so, click on the “Free Minting” option and sign the minting authorizations that need to be provided to the marketplace. Upon completing this final step, the NFT will be put up for sale on the marketplace and will be available for purchase by other users.

The NFT remains listed on the respective marketplace, while all its related data is stored on the InterPlanetary File System, a distributed file storage protocol that permits anyone with a computer to store and share files as part of its giant peer-to-peer network.

By linking their crypto wallets with the marketplace and receiving minting permissions, NFT creators are assured that their NFT is minted as soon as the funds are deposited by the buyer and the same are then credited to their crypto wallet, without any additional hassles.

In the event that the NFT’s creator wants to delist or “burn” an NFT that has been minted via this option, they’ll have to pay an applicable gas fee before taking down the NFT from the marketplace.

How to purchase NFTs on Polygon

For investors and NFT enthusiasts who are inquisitive about how to buy NFTs on Polygon, their journey would have to begin with any of the NFT aggregators or marketplaces on the blockchain network. They may choose from Polygon NFT marketplaces such as Floor, TixHive, NFTrade, Candy Shop and Hodl My Moon in addition to OpenSea and Rarible marketplaces.

While Hodl My Moon and TixHive are aggregators that exclusively work with the Polygon network, the others are examples of multichain marketplaces that facilitate transactions across blockchain networks, such as Ethereum, Solana and BNB Smart Chain among others.

Users will have to link their Polygon NFT wallet with the chosen marketplace and then proceed to browse through NFT collections available on Polygon. Depending on whether it is a fixed-price sale or an auction, the process of purchasing NFTs differs slightly for platforms such as OpenSea. For fixed-price NFTs, users can add one or more of such NFTs to their cart and pay for them in one single purchase flow.

After clicking “Add to Cart,” the user needs to navigate to the cart and finish the buying process by clicking on the “Complete Purchase” option. Upon doing this, the user will be redirected to the wallet window where the signature request has to be accepted after switching the wallet’s network to that of Polygon.

For fixed-price NFT sales, the type of token depends on the preference set by the seller and, therefore, the buyer will have to comply with the price. For Polygon NFTs, the most common preference is that of Polygon ETH or MATIC tokens, with the former being bridged to the Polygon network.

By bridging ETH tokens to the Polygon network, users can save on the high and volatile gas or transaction fees requested by the Ethereum network, thereby bringing down the cost of acquisition.

To make an offer for an NFT or to place a bid for an auctioned NFT, users will need to lock ETH in a Wrapped Ether (wETH) smart contract to place pre-authorized bids, without the need for any additional input from the buyer.

The wETH smart contract mines an equivalent amount of wETH tokens when ETH funds are held in it, with the wETH tokens appearing in the user’s wallet until it is used in a bid.

How to sell NFTs on Polygon

After minting an NFT, the digital collectible will be visible in the “My Collections” tab on the OpenSea marketplace and can be subsequently put up for sale by the NFT’s owner. Here are the steps to sell NFTs on Polygon:

How to find Polygon NFTs on OpenSea

Although the OpenSea NFT marketplace runs on the Ethereum blockchain, it allows users to buy, sell or trade NFTs from various other blockchain platforms, namely Solana, Klaytn and Polygon.

On such multichain NFT platforms, Polygon NFTs will have a Polygon logo in the upper-left corner of the representative image used to denote the item. Alternatively, one could filter Polygon from the list of blockchains that the platform supports to see only those NFTs that are hosted on the Polygon network.

With more than 43 million OpenSea Polygon NFTs already listed across categories such as art, collectibles, music, photography, sports, trading cards, utility and domain names, users could also use the range of filters available on the OpenSea platform to narrow down their eventual purchase.

By giving users the choice to browse popular NFT collections or even selecting NFTs that are priced within a defined budget range, the OpenSea marketplace offers an intuitive experience for those looking to buy their first NFT or add to their existing collection.

NFT marketplace tokens soar in 2023, and Blur’s recent airdrop may extend the trend

NFT marketplace tokens are gaining the market’s attention, and Blur’s recent airdrop could extend the trend.

Cumulative nonfungible token (NFT) trading volume trended higher in January, and data from a recent Delphi Digital report showed monthly volumes reaching an eight-month high above $1 billion.

The key factor that influenced NFT trading was the Blur token airdrop on Feb. 14. Since its launch last year in Q3 2022, Blur has rewarded users with “care packages,” which can be redeemed for tokens starting Feb. 14 at 12 pm ET.

Many users have tried to farm these airdrops, increasing the platform’s trading volume. Since the start of 2023, Blur’s trading volume has surpassed that of OpenSea, the market leader in the NFT trading space.

NFT Marketplace market share by 7-day volume. Source: Dune

Airdrops often create excitement in the market of thrilled users who receive free money and FOMO from those who missed out. It’s likely that the next step for the Blur team will be to launch new liquidity mining campaigns, similar to Optimism, to retain its volume and users. Moreover, users will also move on to other opportunities in the space, similar to Blur.

On-chain data shows whales are accumulating NFT tokens

The top NFT trading platforms on Ethereum with a native token are LooksRare (LOOKS) and X2Y2 (X2Y2). The year-to-date increase in the price of their tokens is 100% and 260%, respectively. The tokens have outperformed the market’s average gain, suggesting buyers are paying more attention to these tokens.

Independent on-chain analyst The Data Nerd found that Taureon Capital is accumulating NFT marketplace tokens. Ethereum wallets identified as “smart money” by Nansen have also significantly increased holdings of X2Y2 and LOOKS. It shows a rising trend among sophisticated investors toward NFT marketplace tokens.

Let’s look at each platform more closely:

X2Y2

X2Y2 ranks third concerning NFT trading volumes on Ethereum. The platform launched its token in February 2022 and has since seen steady usage. It distributes the platform’s trading fees among X2Y2 stakers and incentivizes trading through X2Y2 incentives.

The platform has a price-to-earnings (PE) ratio of around 14, which is in the lower range of other decentralized finance (DeFi) tokens whose PE ranges between 10 and 250.

Recently, 37.5 million LOOKS tokens, representing 17% of the circulating supply, were unlocked for the developing team and treasury at the start of February. The team reassured investors, claiming, “The X2Y2 team will NOT sell any token from this upcoming unlock or any tokens unlocked thus far for the foreseeable future.”

X2Y2 token release schedule. Source: X2Y2 docs

Nevertheless, the token faces risk due to inflation, which will see its circulating supply nearly double by the year’s end. The team has also placed a monthly burn mechanism to counteract the dilution.

The token is trading near its 2022 range highs of around $0.20. If buyers can break out and consolidate above this level, there is a likelihood of more gains in X2Y2.

LooksRare

LooksRare is another competitor of OpenSea that offers token stakers with the platform’s trading fees in Ether (ETH) and Wrapped Ether (wETH). The marketplace has a competitive PE ratio of 11.7, which is less than X2Y2.

On-chain analytics platform Lookonchain revealed that prominent trader and BitMEX founder Arthur Hayes owns 3.62% of the token’s total supply. Confidence among whale investors like Hayes motivates retail and other funds to follow in their footsteps.

Like X2Y2, the LOOKS token went through significant unlocks toward the end of 2022, but there are no major unlocks of the token until Q2 2023.

LOOKS token release schedule. Source: Coingecko

The price action of LOOKS suggests that the market has absorbed the recent dilution. Based on its 2022 trading levels, the token has the potential for significant upside toward $0.35 and $0.50. However, the platform must show an increase in usage to support further rallies.

Rarible

Rarible’s native token differs from LooksRare and X2Y2 in that it doesn’t share the platform’s trading yield. The RARI token only serves as a governance token used in voting on proposals in the Rari Foundation.

The team adopted Curve’s voting escrow-styled tokenomics, which hasn’t seen any real staking tracking yet. Besides that, RARI can be used to trade on the platform, but its usage as a payment token is limited compared to ETH and stablecoins.

The token’s price performance has reflected its poor tokenomics. Unless the Rari Foundation moves to enhance the token’s utility, RARI’s performance may remain subdued compared to the rest of the market.

There also could be some hidden opportunities in DeFi–NFT platforms like JPEG’d and Pine, which enable loans against NFTs as collateral.

The total NFT trading volume is less than 1% of the volume of cryptocurrency exchanges. However, it’s a growing segment that is projected to produce revenues near $5.9 billion by 2025. Thus, early investments in decentralized marketplaces that share a portion of their income may reap handsome rewards in a couple of years.

The views, thoughts and opinions expressed here are the authors’ alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.