How to participate in NFT minting and profit from it
The NFT industry is rapidly growing day after day. The main reason is the massive returns that a single NFT can give to the initial buyer. But to succeed in the industry, you will have to know how to be the first person to own a piece of art to sell it later for the best price and the highest profit.
Finding a high-quality NFT project
Before investing your money into the NFT project you have to find the one project that will give you the most return. There’s no better place for finding NFTs than Twitter. Currently, numerous accounts provide promotional services for the projects. Since the price of each NFT is mostly fueled by speculative interest, only the biggest projects out there will give a significant return.
Smaller projects with higher quality art, unfortunately, don’t show returns even similar to relatively low-effort, generative arts like CryptoPunks or Squids that invest more in marketing rather than art quality.
After you find the right project on the promotional page, take a look at the community: how active it is, how many admins and community managers it has, etc. Good projects usually consist of an active, caring community that is willing to support and protect them. Projects that mostly market with giveaways and free NFTs have a lot of inactive users that won’t likely to buy or mint the NFTs.
If the project that you choose is already in the minting phase and hasn’t yet sold out, make sure to avoid getting into it. Projects that have a sluggish minting phase and don’t sell out in terms of day or even a couple of hours are usually left behind with low selling numbers and almost no returns for early adopters.
A different scenario is a case when minting is almost over and there are limited numbers of NFTs left. You should indeed participate in that kind of NFT to later potentially sell it with a high return.
After the minting phase is over, users place their sell order on the markets like OpenSea. You have two ways from here: selling your minted NFT right away or waiting until the floor price stabilizes and some form of liquidity appearing on the market.
At the same time, you should keep in mind that holding your NFTs for too long might not end up well. Most projects receive a strong boost in the minting and post-mining phase, while the project’s marketing is still active. After a week or two, the community moves away from one project to another hence the market might be interested in buying your tokens.