Tuesday, May 24, 2022
HomeGuidesThe Reason Why NFT Drops Are So Important!

The Reason Why NFT Drops Are So Important!

“NFT drop? What does this even mean?”

Asking about the NFT drop meaning is a common thing for people. What precisely the NFT drop means is a general inquiry that crosses many people’s minds as NFT, which means the non-fungible token is getting popular day by day. People use NFT to own unique digital assets, and this digital transaction system will be universal. 

But some terms and ideas related to NFT seem confusing and difficult to the newcomers in the NFT business. One of those terms is the NFT drop. This article will give you a quick overview of the NFT drops and their different sides.

What is an NFT Drop?

An NFT drop stands for the release of an NFT project. You will find the accurate date and time of an NFT item to be available on the market in its drop, along with the minted price of this digital asset. To understand the idea entirely, remember the things we say a lot in our day-to-day life, like, “I will buy the Ipad whenever it drops on the market.” Now you can understand that drop is related to the coming of the new products, basically minimal version products. 

Like this, NFT drops indicate the arrival and all information associated with the arrival of an NFT collection, which are digitally unique items.

In other words, the NFT drop is the thing that tells us the date and time when the collections of NFTs get accessible for everyone to collect, buy, or invest on.

Looking at NFT drops carefully is crucial as many drops include the limitations on sales and declare the number of NFTs a buyer is allowed to have in one transaction. Besides, buying at a drop time has been proved to be helpful to save money.

NFT is digital but not much different from the tangible goods of the real world. Whenever a limited version of a product comes out in the market, we see how people rush to buy that product. It happens in the digital world as well about NFTs. An NFT drop is also about this rush of people. 

Collectors get ready with their PC and mouse-keyboard to buy the most hyped and valuable NFTs. If you want to beat them and get the best items of an NFT drop, you have to hurry and participate with intelligence.

But remember, not every NFT drop is worth chasing. Among the minted NFTs and upcoming drops prevalent in marketplaces, you need to determine which NFT drop you will follow.

How to Find NFT Drops

Finding NFT drops is not as difficult as some people claim. If you know where to look for the drops, you can easily find valuable and latest NFT drops. Let’s get to know the run-over of the platforms where we can discover the NFT drops.

1. On Social Media

Social media is one of the best platforms to find NFT drops. Facebook, Twitter, Instagram, Snapchat, YouTube, and other social media websites serve as a tremendous NFT drops source. Both famous artists and new artists, along with established brands, love social media as the medium to spread the news of their new NFT drops. You need to follow the artists and brands on social media platforms to receive their NFT drops updates.

2. Instant Messaging

Instant messaging apps such as Messenger, WhatsApp, Discord, and other platforms are also effective places to discover new NFT drops. Through instant messaging platforms, artists and collectors get the chance to engage with one another. Join a chatting group in these apps and find out when the new NFT drops will occur.

3. Talking to People

Yes, an NFT drop is a digital occurrence, and the whole thing is related to the online world. So, it’s not unexpected that the news of NFT drops is primarily easy to find in digital media. 

But still, learning the latest NFT drops news and information can be possible from the people around you, offline. Just get introduced or be friends with enthusiasts of the NFT market. They will share updates about the NFT drops with you, even some advice about NFT.

4. The Metaverse

Metaverse refers to the 3D simulated environment that uses augmented reality (AR), virtual reality (VR), and blockchain to create an artificial world for its users with the opportunity of connections like social media. 

Metaverse is another excellent place to know the news of upcoming NFT drops. The announcement of the dropping of NFTs is sometimes posted in the Metaverse for its users. NFTs will probably be a mandatory item of this platform due to its digital criteria shortly.

5. Podcasts

If you follow podcasts focused on NFTs, blockchain, and cryptocurrency, they will be your great source of knowledge about NFT droppings. They will provide you with news and insights on NFT drops.

6. NFT Marketplaces

NFT marketplaces are where you find NFTs to buy, sell, and collect digital collectibles. You will also find the latest news and trends of NFT drops in such places. NFT marketplaces like OpenSea, Axie marketplace, and Larva Labs give their users daily drops information. 

Another advantage of following marketplaces is, you can understand the trends of NFTs by looking at the ranking of the websites. Besides these platforms, you can read the new features from NFT Sniper Drop to know more information about NFT drops.

Where to Buy NFT Drops and How

You can buy NFT drops from NFT marketplaces like OpenSea, NBA Top Shot, SuperRare, and so on. 

To buy the drops, you need to have an NFT marketplace account and a cryptocurrency account that you must fund with Ethereum tokens, as most blockchains where the NFTs are available are powered by Ethereum. You can preserve your NFTs in your marketplace account.

Must Avoid Things When Collecting NFT Drops

When collecting or buying NFT drops, you must avoid some things to get the most of the benefits of quality NFT drops. If you can prevent these things, the probability of the success of your NFT drops buying will increase. Go ahead to know about those poisonous things to avoid!

1. Avoid Buying NFTS That You Don’t Like

Collect an NFT you want to collect. Just like you don’t buy a pair of shoes if you don’t like them, the same goes for the NFTs. If you like the NFTs, you are into its brand or creator, and don’t mind if you can’t make profits from it, which means it’s enough as collectibles, then go for the NFTs.

2. In-depth Research

Before investing in any NFT drop, do your in-depth research about the NFTs, their creators, and the platform where it is available to buy. If they are authentic, so their artworks; and the trading platform are trustworthy, you can be sure the NFTs are worth your money.

3. Don’t Go Beyond Your Budget

In an NFT drop, an asset can just steal your heart, and you can want to have it very much. But don’t go for it if it’s beyond your budget. Even if it seems to be a good investment for future profit, control the temptation. Like offline money management, your digital life shouldn’t follow extravagant styles.

4. Avoid Purchasing NFTS without Future Demand

Many people engage in the digital world day by day, and NFTs are becoming more common in this lifestyle. So, while investing in an NFT, be careful to examine its value. Maybe it’s not as much unique as you are thinking. It may lose its charm and value in the future. In such a case, avoid purchasing this NFT even it’s affordable.

5. NFTs and Seller Verification

NFTs and seller verification will save you from scams that have been surging in NFT marketplaces rapidly. There are different kinds of scams, and if you don’t verify all information about the NFTs and their sellers correctly, scammers will snatch your valuable money.

Scams related to NFT Drops

As NFTs are getting lots of admiration lately and people like investors, collectors, and artists are joining this trend, scammers are also happy to find a new place for their misdeeds. 

Real users of NFTs don’t like scams, but scams are everywhere in the NFT industry. So, while searching about new NFT drops, you must be careful to understand whether it’s authentic or a fraud to protect your hard-earned money. Let’s learn about some prevalent scams not to be fooled by scammers.

1. Replica or Fake NFT Stores

Scammers have been creating replicas and fake stores online since the beginning. Lookalike websites of authentic websites that don’t match any service of the actual stores are a common problem an internet user face. The same thing happened to NFT stores. Replica websites of NFT stores are causing huge problems. 

Since March 2021, it has been reported that a 300% increase occurred in suspicious domain registrations of NFT stores. These stores copy the name of the original stores like OpenSea, Rarible, and Audius, and look like the actual stores with the same logo, same website layout. They even offer the same NFTs to buy but don’t go for them. Because? You know they are scams.

Fake NFT stores are another dimension of replica NFT stores. They don’t mimic original stores. Instead, they set up their store looking unique. But in reality, these stores and their offered NFTs don’t exist. Whoever gets fooled by the charm of their fake NFTs ends up losing a massive amount of money. To prevent getting scammed by replica and fake stores, recheck and cross-check the website URL and make sure to find the URL from a reliable source.

2. Artist Impersonation

Artist impersonation, which means showing artwork as an artist’s original work when it isn’t, is another severe scam troubling the collectors. Think about an incident like you buy a painting thinking it’s Pablo Picasso’s as the seller influenced you to think so, but finding it is a fake painting that is not related to Picasso anyhow. How will you feel? 

When the same thing happens in the NFT world, we identify it as artist impersonation. For instance, a few days ago, an anonymous NFT collector called Pranksy bought an NFT with 3 million dollars in Ethereum, thinking this was the authentic artwork by Banksy. Fortunately, Bansky refunded the scammed buyer after the incident got media attention.

Be vigilant to check the seller and NFTs you are going to buy if you don’t want to fall prey to such scams. Remember, domains with the name banksynft[.]com and banksynfts[.]com are registered nowadays, indicating that artist impersonation can increase in the future.

3. Fake Bidding

Fake bidding is another scam that is increasing in the marketplaces like OpenSea. Most of the scams come from the sellers to harm buyers, but in this case, buyers are the scammers who are trying to deceive the sellers.

While bidding fake, scammers get in touch with NFT sellers and place bids on the NFTs showing off they are using WITH wrapped in Etherium while using USDC, which stands for USD stablecoin. The scammers use the WITH logo in their profile pictures to beguile sellers to believe they are bidding in WITH. 

The problem is WITH holds a higher value than USDC. The value of WITH is around 4 dollars when the value of USDC is about 1 dollar. So, when a seller sells his digital assets for USDC believing he is selling in WITH, he loses a lot of money. So, you have to be very careful about whom you are selling.

4. Typosquatting

Typosquatting means URL hijacking, domain mimicry, sting sites, or fake URLs; that is one kind of social engineering attack that depends on the users mistyping URL. When we search for something online, we often make typing mistakes because of hurry or carelessness. 

Scammers use these mistakes to gain advantages. They create websites with URLs that seem to be the URL of a genuine website but misspells slightly like OpenSea(.)com vs. OpenSee(.)com. When we click onto these fake URLs, we are directed to malware websites, losing our credentials and money.

To be safe from typosquatting, you have to type URLs carefully when using the internet and verify the address before clicking on it.

5. Insider Trading

Insider trading is a significant problem surging in the NFT marketplace lately. When collectors can purchase an NFT before the NFT is put on sale for everyone is called insider trading. This scam weakens the democratic nature of BFT drops that allows all collectors to collect the NFT equally. In September of 2021, Head of Product Nate Chastain of the NFT marketplace OpenSea performed such scams.

Unlike the scams mentioned on the list, insider trading cannot be avoided by being watchful. Strict rules, regulations, and laws involving NFT marketplaces are necessary to tackle this scam. The good news is that OpenSea has put restrictions over its employees from buying and selling NFTs of the company after their Head of Product exposure.

6. Rug Pull

Rug Pulls is one of the major scams in the NFT world. R rug pull occurs when a scammer creates an NFT project but desert it as soon as he gains his desired money. For instance, a collection of 10,000 playable characters were available in a fighting game called the Evil Apes NFTs. But the creator ran away after just a week of the project’s minting when he gained a fund of 798 Ether, equal to 2.7 million dollars.

Understanding the possibility of rug pulls can be accessible by spending time in the project’s social media platform to evaluate their activeness. If the social community is suspicious, think twice before investing in such projects.

7. Direct Messages

Scammers can try to contact you through Messenger, mobile message, group chat of social media, or email directly in disguise with a fake identity. Please don’t share any information or secret code of your community with anyone you are not sure of their identity.

Steps to Follow for a Successful NFT Drop

We have discussed the different aspects of NFT drops keeping the buyers or collectors in mind. Where to find NFT drops news, how to buy NFT drops worth money, or scams in the NFT realm are mostly for the help of the buyers. But sellers are another vital part of the NFT transactions. So, now we will talk about the steps for a successful NFT drop for sellers. 

As NFTs are praised already and creators are rushing into the digital market, the competition has intensified for NFT sellers, making it challenging for comparatively new NFT items to be attracted and bought. So, creators and artists need to follow some steps so that their digital assets stand out from the crowd.

1. An Alluring Story will Help

There are thousands of NFTs of your kind in the market. Why would people buy yours? You have to find the answer to this question. Is your NFT unique? If unique, what are the reasons? Will your clients get the accurate return from the NFTs they are giving value for it? If you can answer the questions, your project has a good chance of success. 

Tell the potential buyers a story about your NFTs that includes the answers to the above questions. People will be attracted and buy it. Attach brand voice, mission, and vision with the story of your products. It works outstandingly. The NFT projects, those that achieved great success, were enriched with narratives, mission, vision, and brand voice.

2. Choose your Blockchain and Marketplace

The second step that will help you to be successful with your NFT project is choosing the right marketplace where you will sell the NFTs and the blockchain where your digital assets will be available. The most prominent marketplace is OpenSea, and sellers usually use the Ethreum blockchain. But you can choose other marketplace and blockchain according to your priorities. Besides, you can even open your own marketplace.

3. Outline a Contract

Now it’s time to outline a contract including all the technical and legal issues about your NFTs. You have to write whether your NFTs are on-chain or off-chain, the number of royalties you will take from the resale of NFTs, right of the mint to people, intellectual property rights of NFTs, etc. This contract will assist you in a fruitful NFT drop.

4. Build Community and Offer them Fairness

Make a community that talks about your NFT project and spreads the hype about them. Create social media groups. Never forget to use Twitter and Discord, as they are the leading platform for NFT enthusiasts. Adopt different kinds of marketing. Make videos, promote NFTs by photos and blogs, create a complete website, donate free NFTs to NFT influencers, and get promoted by them, and don’t forget to attach your NFTs collection to the NFT calendar. The more hype around your NFTs will create, the more people will pay for the collectibles.

But only creating community is not enough; making them trust your project is reliable means your NFTs are not any scam is essential. For the fair launch of your NFT project, you can follow the tips of Ethereum creator Vitalik Buteirn. He said each participant of the NFT drops should have a chance to buy up to a specific amount of NFTs at a special price. The auction should be an option if they want to buy more.

5. Know your NFTs Customers

This step is related to the 4th step. To make the NFT realm fair, you should collect proof of personhood (PoP), which means everyone has to prove that they are not fake. It is a mandatory idea of KYC; aka know your customers, that is followed in real world’s banks, tax agencies, and all financial institutions to prevent illegal financial acts.

6. Prepare your Website with Offline Preparation:

As you are going to drop digital assets, the website will play a vital role. When a hyped NFT drop occurs, collectors rush to the website that makes it down. So, be prepared from the beginning and back the website technically to handle a large amount of traffic where your NFTs will be dropped.

Whatever, it’s not enough to be prepared online-only. You have to be prepared offline for your NFT drop day. Every partner of your project and everyone related to the drop need to know their responsibilities for the big day. Otherwise, lack of preparation can hamper the success of the dropping.

7. Secure Lasting Value

At last, create the lasting value that will make collectors stick to your products. For example, the creators of Bored Ape Yacht Club NFTs offered its holders Bored Ape Kennel Club and Mutant Ape Serums, by which Apeholders could produce new edition digital assets that fortuned them with extra profits of thousands of dollars. So, give importance to creating lasting values of your NFTs for a successful NFT drop.

Wrapping Up

So, you know now what is NFT drops, where to find them, and what you need to do to buy collectibles from a good NFT drop. Besides, you got information about planning your dropping as a seller. Now you are ready to battle fiercely in NFT drops! If you follow our suggestions and tips, you will hopefully get the best benefits from any NFT drop.

Henry Hicks
Henry Hickshttps://nonfungibletalk.com
NFT and Crypto Enthusiast. Loves Travelling and Exploring the Metaverse!
RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!

Please enter your name here

Subscribe to our newsletter

To be updated with all the latest news, offers and special announcements.

Most Popular