How to Mint CNFT's
Once you have your CNFT compatible wallet setup and loaded with a balance of ADA you’re ready to purchase or mint your first CNFT. If the project you are interested in is an existing one who has already conducted their initial mint, the chances are you will have to buy on a secondary marketplace such as CNFT.io or TokHun. However, if we are talking about a new and upcoming project it’s possible that the minting phases has not been completed yet, in this case you will be minting the CNFT directly by following the specific project’s instructions.
There are various methods projects can opt for when deciding on the mint procedure, the most common of these is the ‘Vending Machine’ and ‘Reservation System’. The former usually consists of a universal address and price for all users. Hopeful buyers send the ADA to the address upon its announcement and if the transaction is received before the tokens sell out, the smart contract returns a CNFT to the wallet the ADA was sent from on the other hand, the reservation system
implements the use of either unique Wallet Addresses and/or slight variations in price for each user. The project’s instructions will usually call for the user to click the buy button, and the CNFT will be reserved, usually for 10 minutes, if the buyer’s transaction is received in time the sale completes, if the reservation period comes to an end the asset becomes unreserved and is free to be reserved again.
Both of these methods have their pros and cons and so far it appears that none of them are a perfect method, but they have been the most adopted by the vast majority of projects and their teams. It is normal for projects to add their own variations and slightly tweak these methods to try and improve upon the minting experience for their users, it is therefore important that you follow the specific project’s instructions for each mint you partake in.
How to Buy CNFT's
If the CNFT you are interested in purchasing has already sold out and is no longer available to mint you will need to find a seller on the secondary marketplace, at the minute there are various options available, each with their strengths and weaknesses. Secondary marketplaces are essentially online stores and communities that facilitate the safe transfer of CNFTs between users. The benefits of using a secondary marketplace include safety and exposure, while the biggest downside are the fees charged for proving the service.
The two most prominent marketplaces in the CNFT space are CNFT.io and TokHun.com, both have taken slightly different approaches to how buyers and sellers interact on their marketplace. With over 58 million ADA transacted cnft.io currently operates as an escrow service, when a buyer initiates a sale by clicking ‘Buy’ a countdown begins, the buyers has 10 minutes to send the ADA to the designated address, upon completion of this step a second countdown begins the Seller now has 24 hours to send the Asset.
Once both have been received by CNFT.io, they promptly send the buyer and seller the desired tokens. So far, the biggest criticism of this method is the ability for sellers to change their mind and not send the Asset, leading the buyer to have to wait for up to 24 hours only to receive a refund. To counter this actively, CNFT.io recently implement timed account lockout penalties for offenders.
TokHun on the other hand is a much newer marketplace in the space, with a much lower 695K ADA in Volume since its launch. This biggest improvement TokHun brings in comparison to CNFT.io is the implementation of a dedicated wallet for sellers using the marketplace, this means once a buyer purchases an item it is automatically sent to them, so no more cancelled sales or sellers not sending the assets. To most this is a huge improvement and much welcomed addition, however users of this marketplace currently have to make a compromise in regard to the lower traffic and sales volume.
There are a number of other alternative marketplaces live and in development, however we are yet to see how well these will be received and adopted by the community. Additionally, we have recently seen dedicated marketplaces being developed directly by projects Such as the SpaceBudz marketplace that features smart contract integration, these dedicated marketplaces cater solely to the owners of that specific project’s CNFTs.
How to View CNFT's
Once you have your CNFT in your wallet the most common way to view it is by using Pool.pm the brilliant website developed by Smaug at Smaug Pool. You can view your entire wallet simply by going to ‘Pool.pm/walletaddress’ from there you can view individual CNFTs by clicking the one you want to view. You will then be shown all the relevant information including its Policy ID, Title, Asset ID, Mint Date and Metadata as well as a preview of the asset.
Certain wallets such as Nami Wallet also allow you to view your CNFTs directly from within your wallet dashboard, however much less information is usually provided this way and is primarily intended to provide a quick overview of the asset.
On occasion, project developers also develop their own dedicated explorers for their Projects. An example of one of these is the DEADPXLZ Explorer, where users can display and rank PXLZ based on PXL ID, Attributes, Type, Listed for Sale, ect. Some projects, usually those with a rarity aspect, can opt to be listed on additional CNFT sites such as cnft.tools and TokenRef.com. These sites can provide information regarding the Ranking and Rarity of a CNFT in comparison to the others assets from that project.
How to Sell CNFT's
If you are looking to sell a CNFT you have various options available to you, you can opt to use one of the Secondary Marketplaces detailed above, or you could try to find a buyer yourself by advertising directly and connecting with other users in the various online communities such as Twitter, Discord, Reddit and Telegram. Opting to cut out the middleman and find a buyer yourself enables you to conduct trades with more detailed specifics such as swaps and trades, however you will be required to put in more work and be prepared for lots of negotiating.
Selling on a Marketplace however is relatively straight forward, take CNFT.io for example, you create a free account, add your wallet and list your asset, now you just wait for a notification via email to let you know a buyer has initiated the sale, you then have 24 hours to complete that sale by simply sending the asset, shortly after you will receive your ADA.
There are a number of tools available at your disposal to help you work out a fair and suitable price to list your CNFTs at, opencnft.io and cnftanalytics.com will show you the current FLOOR price and recent sales history of projects and their assets and cnft.tools and TokenRef.com will help you determine the price of assets of similar rarity currently on the market.
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