Blockchain technology has brought out some of the most innovative innovations, including non-fungible tokens (or NFTs). NFTs have many potential uses, but the tech quickly found a market for digital artworks or collectibles.
Even though the poor performance of the crypto market in 2022 has also slowed down interest for NFTs, the market has shown an impressive level of resilience—for now, it certainly looks like NFTs are here to stay and weren’t just a phenomenon of the 2020-2021 cryptocurrency bull market.
NFTs first started gaining traction on the Ethereum blockchain, which is where the technology originated – projects like CryptoPunks and CryptoKitties were some of the first examples of using NFTs to represent unique digital collectibles. OpenSea is the market leader in NFT marketplaces. However, there are many competitors. NFT trading is an example of the many features that established cryptocurrency exchanges have included in their product offerings.
Binance NFT is an NFT marketplace that offers full-featured services.
Binance NFT is one of the most well-known examples. It was launched in 2022 by Binance cryptocurrency exchange. Binance NFT supports NFTs that are issued on the Ethereum or BNB Chain blockchain platforms.
Discover NFTs in Binance
In this article, we’ll be taking a look at how you can use Binance NFT to explore and purchase NFTs. The platform has implemented numerous features since its launch that make it easy to find NFTs that are relevant to you and filter out the “noise” you’re not interested in.
Are you interested in Binance NFT Here are the facts
Let’s explain some of the most important concepts associated with NFT collections that you can find on Binance NFT. This will help you get a better perspective on the NFTs and collections you’re evaluating, and how they stack up against the market. We’ll be using the Rh!noX NFT collection as an an example to make the explanation clearer—please note that this is not an endorsement or investment advice.
The concept of a “floor price” is used very commonly in the NFT community. A collection’s floor price simply indicates the current lowest price for an NFT. The current floor price for the Rh!noX collection is 849 USD on the Binance NFT Marketplace. When it comes to algorithmically generated collections like Rh!noX, you’ll typically find that NFTs with more common traits tend to have a lower price. NFTs with rarer traits tend to be farther removed from the collection’s floor price.
The ceiling price is, contrary to what its name suggests. The ceiling price represents the highest possible price that an NFT is being sold from a collection. The ceiling price is less useful than the floor, since NFT owners sometimes list their NFTs for sale with unrealistically high prices.
Market cap estimated
Unlike with standard crypto assets like Bitcoin and Ethereum, it’s not really possible to provide an accurate market cap figure for an NFT collection. This is due to the fact that different NFTs within a collection have different pricing (which also depends on the owner) and not all NFTs within a particular collection are currently on sale.
However, we can calculate an estimate of an NFT’s collection’s market cap, which can help us gauge how valuable it is compared to other NFT collections. You can get an estimate by multiplying the collection’s 7-day average trading price with the total number of NFTs in the collection.
The total NFTs within a NFT collection are called the supply. Rh!noX has 1337 NFTs. When considering a collection’s floor price, it’s also worth taking into account the number of NFTs in the collection—the concept is similar to evaluating a cryptocurrency based on the price of a single unit and the size of the total supply. On Binance NFT, you can see a collection’s supply in the “Items” section.
When it comes to PFP (profile picture) NFTs like Rh!noX, every NFT in the collection is typically unique—no two NFTs in the collection are identical. Therefore, the concept of “rarity” can be a bit confusing at first glance. NFT collectors usually talk about rarity when referring to NFT traits.
Rarer traits will appear on fewer NFTs. Rare traits are more expensive than those with more common traits. However, this is not always true.
This feature is available for NFT collections that support it. You can filter NFTs based on their traits in the collection. You can do so in the “Properties” section under “Filters”. In our example, we’re filtering for Rh!noX NFTs that have the “Universe” fur trait.
You can also apply multiple trait filters at a time, but you might end up with no results—an NFT with the specific combination of traits you’re looking for might not exist.
The trading volume metric shows you how many NFT collections have been sold in a given period. If a collection has high trading volumes, it means that there is substantial interest in the project. You can view the trading volume rankings of different projects on Binance NFT in the marketplace’s “Ranking” section.
Binance NFT: Buying NFTs
If you want to buy an NFT on Binance NFT, there’s a couple of different ways to go about it. If you already know the collection you’re interested in, you can simply find it using the search bar and then browse the NFTs using the filter system.
NFTs already listed at a fixed price may be bought immediately at that price. Sometimes, NFTs aren’t listed with a fixed price, but are instead put on auction. Here’s an example of a Rh!noX NFT that’s on auction with the current highest bid of 1,500 BUSD. If you wanted to purchase this particular NFT, you’d have to submit a higher bid and hope that nobody would outbid you before the end of the auction.
If you’re looking for a more detailed guide on the process of buying NFTs on Binance NFT, you can find one on Binance’s official website.
Collections listed on Binance NFT are divided into two groups—Premier and Standard. Premier collections were created in collaboration by Binance NFT platform. You can identify them with the orange tick next their names. Meanwhile, Standard collections haven’t been verified by Binance NFT. If you’re just getting started with NFTs and don’t have much experience with the market, it might be a good idea to narrow down your search to Premier collections only.
You can also scan projects using their trading volume and floor price, supply, as well as number of sales. This allows you to quickly identify active projects that are currently attracting a lot of attention from NFT traders and collectors.
The Marketplace’s NFT Rankings section will allow you to quickly find NFT collections that are selling the most and NFT creators that are seeing the greatest trading volume.
You don’t need to care about metrics such as trading volume or sales if you are just looking to collect NFTs to keep. However, if you plan to sell your NFT at a later date, it’s a good idea to stick to projects that have strong trading volume and sales activity—otherwise, it might be difficult to find someone that’s willing to buy your NFT from you. Because all NFTs have different liquidity, liquidity in NFT markets can be much lower than that in markets for coins like BTC and ETH.
The bottom line
Binance NFT is a fully-featured NFT marketplace that gives you plenty of tools to find the NFT projects you’re interested in. You can filter and search for NFTs in multiple collections. This makes it simple to compare NFT collections. Another useful feature are “Premier” collections, which are verified by Binance NFT.