ICO is something the crypto world is very familiar with. It is a kind of fundraising technique that has been accepted widely in space. But, now we can witness that the craze of cryptocurrencies has taken a specific lane of growth and development in the form of non-fungible tokens. NFTs have taken the market with a frenzy. As per the information provided by CoinMarketCap, the market cap of crypto-collectibles is $18.5$ billion.Initially, every crypto enthusiast was interested in Initial Coin Offering (ICO) and Initial Exchange Offering (IEO). But, the tables have turned. Everyone is in search of NFTs rather than cryptocurrencies. So, it can be seen that nowadays companies are in-searching for an NFT option. That’s where Initial Coin Offering was replaced by Initial NFT Offering.
Everything About Initial NFT Offering
Initial NFT Offering is a new kind of crowdfunding offering. It has sowed the seeds of its acceptability after the innovative launch of non-fungible tokens in the crypto market and is gaining a lot of attention from crypto lovers.
Execution Of Initial NFT Offering
Here are few simple steps that show how the Initial NFT Offering is executed;
- Specific amounts of NFTs are sold to potential investors via public sale within a limited period of time.
- NFT or crypto-collectibles are backed up by a native cryptocurrency token.
- The NFTs are burned by the investors over a specific period of time.
- The NFTs sold in the crowdsale event Initial NFT Offering will represent different kinds of artwork, games, fashion accessories, metaverses, music, photographs, and videos.
Importance Of Initial NFT Offering
- A new crypto funding innovation that involves offering a set of limited edition stake-able NFTs for sale
- Providing technical support to investors
- It helps projects of entrepreneurs to get sufficient liquidity in the crypto market.
- Fulfillment of all the business objectives
- Trading of NFTs is done through a Decentralized Exchange (DEX)
- The investors can purchase the digital collectibles, burn them after a specific duration, and release the native crypto token
- The inherent supply scarcity
Advantages Of An Initial NFT Offering Platform
- Higher Returns
NFT holders will benefit once there is a rise in the price of the trading volume of crypto tokens.
- Easy Purchase Of NFTs
The purchase of non-fungible tokens has been simplified for the investors via the concept of fractional ownership. Through this process, the investors can gain a percentage of crypto collectibles. This way, small retail investors are gaining huge benefits with minimum involvement of risk.
- Lower Transaction Fees
As Initial NFT Offering runs on a decentralized exchange (DEX), the transaction fees are very less without the involvement of any third-party intermediary.
- Multiplication Of Returns Through Staking
Investors can multiply their returns by staking their crypto assets for a specific period of time. For example, Torum, a social media platform based on DEFi and NFTs, conducted a successful INO recently. Investors were able to increase their returns by 1.05 to 1.25 times through staking after unlocking the native crypto token (XTM).
- Offered Interest On Loans
It can also be called a source of passive income to its users. Investors get interested in the loan as well when they lend crypto assets to borrowers for a specific period of time.
Varied Pillars Of An Initial NFT Offering
It offers a launchpad to different content creators like artists, game developers, lyricists, musicians, and many more to use the platform for tokenizing, listing, and monetizing their work—an easy-to-access target audience offering fractional ownership of the NFTs.
- A P2P Marketplace
Buying, selling, and trading of non-fungible tokens have been simplified because of the presence of a peer-to-peer network on the platform. Buyers and sellers can directly complete the transaction with minimum transaction fees without the involvement of an intermediary.
- A Decentralized Platform To Trade, Sell And Buy
The concept of Automated Market Making (AMM) involves a decentralized platform that allows investors to invest in a liquidity pool for a certain period of time. The pool of funds is maintained by experienced Liquidity Providers (LPs). Investors can easily exchange NFTs and fungible tokens as well on different blockchain networks via cross-chain compatibility.
- Earning Programs
Different Staking and yield farming programs are available on the platform. Investors can incentivize their earnings and get extra monetary benefit out of it.
- Reward System
Reward systems are present on the Initial NFT platform, like any other crowdfunding platform. The reward system includes airdrops, a commission for every referral, discounts on trading fees and transaction charges, and prizes through lotteries.
- Incorporation With Other NFT Marketplaces
An INO platform can be easily integrated with other marketplaces like Axie Infinity, CryptoPunks, Decentraland, NBA Top Shot, OpenSea, Rarible, Sorare, and many more.
Why Should Cryptocurrency Exchange Script Be Your Preferred Partner For Initial NFT Platform Development?
In 2017, the development of the ICO platform was at its peak, and today the development of the Initial NFT Offering Platform is making a huge roar in the city. We were there; we are now. With the help of our well-versed blockchain enthusiast team, we achieved some unachievable targets in the crypto market. Therefore, the Cryptocurrency exchange script is your perfect partner for INO platform development.