Mint those NFTs

Good morning! Welcome to The Daily Moon. Are you excited about 2023? Made your New Year's resolutions yet? Ours is to continue bringing you the best and most important news in crypto. We’re moving on it early, today we talk about NFT minting and how it works.

What Is NFT Minting?

The term minting literally comes from how money is minted. It’s pretty straightforward. Think of NFT minting as the way to put it in circulation.

Essentially, it is the way to render digital art into a part of a blockchain as a public record. This makes this digital art different from a JPEG or PNG file. Once it is part of a blockchain, it becomes immune to modification and tampering. 

The first step to minting an NFT is having a crypto wallet. With your chosen crypto in it. You’ll need to have some crypto in the wallet because the marketplaces you mint on will charge for the process. In addition, you also have to pay gas fees on the minting transaction. So minting an NFT is not exactly cheap.

Once you have minted the NFT, you can sell it. 

Ownership is a tricky concept

The first NFT ever minted was called “Quantum” by a person called Kevin McCoy in 2014. It was sold in 2021 via Sotheby’s for $1.47 million. But both McCoy and Sotheby’s were sued over the sale. 

You see, McCoy minted Quantum on a blockchain software called Namecoin. And unlike other cryptocurrencies, owners have to reclaim their ownership of Namecoins every 250 days. McCoy failed to do that. A Canadian holding company claimed the rights to the Namecoins used for minting Quantum and brought the case against the creator and auction house. 

Ownership in the sense of minting NFTs is interesting. It refers to both, “a collection becoming part of the blockchain and to a collector buying an item from that collection for the first time.”

Whitelists: the invitation

To mint an NFT as a collector, most people would buy it in a public sale. But there is something like an exclusive access sale process called a whitelist. Think of it loosely as a pre-sale preview at your favourite retail store. Similarly, a whitelist gets you the access to the presale of an NFT project, which could take place a few days or even hours before the public sale.  

It is essentially a database of wallet addresses that receive early access to an NFT collection before its public launch. 

Why get added to a whitelist?

For two main reasons: 

1. Exclusive access to NFTs that are limited. 

2. Lower prices than public sale. 

Market dynamics take over when it is public and prices go up. 

How do I get added to a whitelist?

1. Find good projects before they launch. Engage with the project on their social media channels. 

2. Interact with the project on their social media/Discord. Some NFT projects add the most active community members to whitelists. 

3. Apply to be on the whitelist. Once you have identified a project, you can fill out an application to be a part of their whitelist. It could be a simple Google Form or raffle draw. 

4. Follow the exchange’s criteria. Some exchanges also create whitelists. Criteria can be something like maintaining a certain amount of crypto or locking in some amount in your account. 

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