Listing NFT below mint price destroys the project

When an investment goes north, the first thing that comes to most people’s minds is to cut their losses. Doing this sometimes is of great gain, but when the investment expected to fail starts booming, they are left with regrets. But what if there’s a way this can be controlled?. A situation whereby rather than lose half of your initial investment when you have a feeling that it’s a bad investment, you get your initial capital back and if things didn’t happen as you envision (If the investment booms) you will have no regret since you got the capital back.

I understand how disappointing it is when you mint an NFT and you get the least rare ones. On other chains, the rarity might not matter but here on SmartBCH, it matters to some extent. The rarity matters when it comes to staking though the option to upgrade with a price is available for most, and when it comes to gaming some NFTs have different attributes that make them more valuable than others.

After minting an NFT what comes to mind first? I’m sure the first thing you do is to head down to Oasis to check what you got. And when it isn’t what you expect what comes to mind?

1. List below the minting price?

2. List at the mint price?

3. List with a little profit added?

It’s painful to see most people going with option one. They list their NFT at almost half of the minting price immediately after minting, thereby reducing the floor of the project, stalling the minting and affecting the success of the project. It’s common to see a project with a floor price of 0.5BCH suddenly changing to 0.005BCH. Those who listed above 0.01BCH before are forced to reduce it or hold on to an NFT with no value.

I think the problem is mainly because people don’t appreciate art. I mentioned in an article a few weeks back that most NFTs on Opensea have no usecase or rarity score. People buy the art they love. This makes it impossible to list below the mint price, moreover, the gas fee they paid when minting alone is enough to stop them from listing below the minting price. The low gas fee on SmartBCH makes it possible for people to list at a low price not minding the loss incurred.

Possible solution

Oasis put a list price limit

If possible Oasis should have a feature that prevents people from listing below the mint price or set a limit. For example, an NFT with a minting price of 0.05BCH can have a limit of that same 0.05BCH or at most 0.045BCH. This will help in controlling the floor price at all times, helping all investors in the process.

Dev set a time limit for minting

When the minting is on for long and people see so many listed on Oasis at a cheaper price, they run away from minting. Many will argue that Law-punk minting went on for several weeks, but then there was no marketplace where cheaper ones are sold.

One thing I’ve realized is that the NFT market is a hype market. The words that are written about a project, how fast the minting is, determine the success afterwards. With Oasis putting a floor limit, it’ll be more beneficial for the devs to set a time to the minting. A week minting grace can be set and the minting price increased after the stipulated time. This will hasten the minting and also help the market price.

Stick to the promises

This is the most effective thing to do. If devs can stick to the promises they made, stick to the roadmap and provide a reasonable usecase, the value of their collections will continue to rise rather than fall below the mint price. A perfect example is Law punk. It is a success today with a floor price of 0.72BCH on Oasis and approximately 1BCH on Blockng all because they fulfilled the promise they made. Also, they are open-minded and didn’t come off as people only after enlarging their pockets instead of helping the SmartBCH community.

Some projects have also fulfilled the promise of staking, gaming and gambling they made but technical it’s a waste since the liquidity added is even less than 20% of BCH gathered from minting.

SmartBCH has the stage set already for something great, but that can only be possible if everyone put effort into making it great. Listing NFT below mint price is a choice, I have no right to force anyone not to. The reason, why most people do that, is best known to them. However, it will be beneficial to all parties if the habit of doing such is avoided.

Thanks for Reading!