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What are NFT Domains?
NFT Domains are hosted in a decentralised way and exist in a smart contract form, posted on the public blockchain. They include extensions that are valid mainly on the Ethereum and Polygon blockchain networks, like .nft, .crypto and others.
There are multiple benefits if you buy an NFT domain. For example, you can own it for life and you do not have to pay any fees. This allows you to retain a complete ownership of the domain and nobody else can assume this domain in Web 3.0. You also have the capability of using this domain the way you want to administer it, without any outside influence from big tech.
The primary method through which such domains are kept alive is to be stored on a cryptocurrency wallet that belongs solely to their owner. Once this owner gets such a domain, they obtain its full ownership, which allows them to sell it, create an NFT domain website in IFPS and modify it the way they want without any restrictions, compared to traditional domains.
Other benefits of of having an NFT domain include the following:
- No one can register this domain or take it from you.
- The domain can be used to create decentralised sites in Web 3.0.
- You can send it, sell it or transfer it to anyone.
- You retain a complete control of the domain.
- You can turn your cryptocurrency address into your NFT domain name, for example “yourwallet.wallet” instead of the long wallet combination ID.
Why Sell NFT Domains?
Selling NFT domains has its benefits and according to recent statistics it has seen a dramatic rise in demand. Unlike traditional NFT art, these domain names have an actual use and can be really beneficial for the users of web 3. This is what has turned them into a really successful business and there are a lot of people who purchase them for both personal use and to flip them. NFT domain flipping can bring you quite the profits if done right, because there are domains that can be sold from $10 all the way up to hundreds of thousands of dollars with most expensive domains reaching prices way of $100,000.
How to Buy and Sell an NFT Domain?
In order to be able to sell an NFT domain, you need to first know the technical aspect of the situation. This is why in this section we will show you how you can first buy such a domain and link it to your wallet and then how you can list it for sale.
For this guide, we will use the No. 1 NFT domain seller in the world right now, known as Unstoppable Domains. It is the largest service that is made to make it simpler for you to buy and mint an NFT domain over at marketplaces, like Opensea, which is currently the largest in the world. It has the following perks:
1. Simplify cryptocurrency addresses with NFT domains
– Attach your BTC, ETH, LTC and 275+ other cryptocurrencies to your NFT domain
2. Login with your domain
– A single, easy-to-remember username on the decentralised web
3. Own your domain, for life
4. No renewal fees, ever
How to Buy an NFT Domain?
Step 1: Go over at Unstoppable Domains site and initiate a sign up or log in if you already have an account:
Step 2: Type a domain which you are interested in, in this case we will use an example domain for demonstration purposes:
Step 3: Choose among the suggested domains in case this one is occupied. You can also go to the last page, where you can find the cheapest ones in case you are on a budget.
Step 4: After you have selected your domain, go over to your cart to complete the purchase and add the domain to your Metamask wallet and your account.
Step 5: Choose the payment method via which you would like to get the NFT domain. You can choose between several different methods, depending on which one is convenient for you:
How to Sell an NFT Domain for Free?
If you have bought an NFT domain, you have now full ownership of it. This means that you have the freedom to do absolutely anything with it, including to sell it for profits, also known as NFT Domain flipping. You can also accredit it to a new wallet or use it as you own wallet name, for easier remembering and usage. Below we will show you how you can mint and list an NFT domain for sale.
Step 1: Go to Unstoppable Domains, and then from the home page, select Domains > My Domains. When you see your domain in the list, you can list it in the network by minting it using the “Free Mint” button:
Step 2: Confirm your e-mail address for security reasons (confirming your identity) by typing in the unique code you have received from Unstoppable Domains:
Step 3: Select the method via which you wish to mint the domain. This ties your domain to the crypto wallet and makes it possible for the domain to be sold on other platforms that are tied to the same wallet or work with it. Our recommendation is for you to go for the Metamask wallet as it is the safest and most widely adopted.
Step 4: Click the “I understand” tick box and then the “Confirm” button to mint it:
Now it is time to show you how to sell the domain. If you use Metamask or any other wallet that supports Opensea, you can create an Opensea account or log in your account using the Metamask wallet and when you do this, the domain should automatically appear on your items list:
Step 5: When you see it, you can open the NFT domain’s profile by clicking on it, which will take you to its own profile page:
Step 6: From this page, to list the domain for sale, you can go over at the top-right and click on Sell, which will take you to the selling page, where you can select the network you want to list it for sale in (Polygon is gas-less, which means no fee requested to sell it). You can select the parameters, the period for which you list this domain for sale and others:
Step 7: When you have selected all of the preferences, simply click on complete listing and. your domain will be listed for sale:
How to Choose NFT Domains to Make a Profit?
Now we will go over some basic strategies via which you can become a better trader of NFT domains. Unlike traditional NFT art, these domains are more valuable asset, and the main reason for that is because they have an actual application within the decentralised web. You can use them as names for your wallet, or you can create a web 3.0 website and publish it on the IPFS network. This is why choosing the right domain name is very critical, because it can make the difference between you becoming a successful trader or not. This is why we will go over some recently discovered research about statistics on which NFT domains are better and which ones you should be focused on investing in.
The research below is published by YouTube NFT domain expert Matt Garcia and aims to explain to you the most recent statistics concerning NFT domains and which ones sell better. In it, we will cover the following points:
- Most sold NFT Domains based on the number of characters they have.
- Most sold NFT Domains based on the number of words.
- Most sold NFT Domains that are singular or plural.
- Word types of NFT Domains that are mostly sold.
NFT Domains Mostly Sold By Number of Characters
Now the first thing we are going to look at is the number of NFT domains that are sold based on how many characters they have. This is important since it will help you make an informed decision on how long should the characters of the demand she will be investing it be. As mentioned before, the research that is conducted by YouTuber Matt Garcia returned the following statistics for the NFT domains sold based on how may characters they have:
As you can see from these statistics, the most sought after NFT Domains have 6 characters with 20,8% of the total sales, followed by 4, 5 and 3 character names. This is very likely due to the simplicity of the domains when used in combination with Blockchain wallets. This is a very clear indicator that you should be targeting the domains you are investing somewhere within these limits.
NFT Domains Mostly Sold By Number of Words
Now let’s take a look at the domains that are sold, based on their word count. As you can see from the statistics below, expectedly the one-word domains are most sought after:
There are a couple of factors that may be the influence this decision the buyers make, like simplicity, easy to remember, catchy and so on.
NFT Domains Mostly Sold Based on Being Singular or Plural
Now let’s take a look at the domains that are being sold, based on their word type – if it is singular or plural:
As you can see from the analysis above, the most percentage of the NFT Domain names that are bought are mostly singular names with plural taking only about 19% of the sales. Of course there are different kinds of domain names, but it is only natural that users prefer to buy names that are singular, then plural.
Word Types of NFT Domains That Are Sold
Now let’s dig in a little deeper and see what kind of what types are the NFT domains that are bought:
What is surprising by the statistics is that users who are interested in web three and NFT domains very keen on purchasing Emojis as domain names, as this is something new and fresh. About 14% of the sales go to Emoji names, while the leader expectedly are nouns as it usually turns out to be with regular domain names as well. Another thing that is not worth missing out on when investing is acronyms and adjectives as they take the 3rd and 4th places in buyers’ liking.
What Kinds & Terms Are Most Interesting When Buying NFT Domains
As you can see from the table below, users often choose different kinds of topics and types to register their domains. One thing not to miss is number domain names, which can drive the domain price very high up:
Given that users have bought number type of domains, one possible strategy could be to register different types of easy to remember or popular numbers or even phone numbers of popular companies or people or something like that. Of course you have the freedom to choose any type of domain and as we can see from the statistics below different kinds of buyers prefer different types of NFT domain names and for different purposes as well.
What Are The Exceptions in NFT Domain Investing
Yes every rule has its exception, you should know that some demands are very popular, because they may be associated with different kinds of factors that influence their value externally. For example a new hype, a popular brand or a new kind of event that may occur, which may significantly drive the price of the domain up. The bottom line here is that you should really keep track of the new trends that are developing and make your investments accordingly.
Conclusion on Selling NFT Domains
Selling an NFT domain can be very profitable, but you really need to know what you are doing. The best selling domains are always the result of a deep and extensive research and informed decisions when investing in such domains. At the moment, there is a high demand for these domains and this is the right time you should start, but always be careful and do not buy just any domain you have a feeling will sell.
We hope you enjoyed this article and found it helpful. If you want the instructions in a video form, we are happy to announce that we have created a video guide on how to buy and sell NFT domains and you can check it out below:
Make sure to leave us a comment if you have any questions here or in the comment section in the channel. We will try to respond the best way we can to help you or simply talk NFT domains.
NFT Domains – FAQ
What Is an NFT Domain?
NFT domains include many domain extensions, that are new, such as .nft or .crypto, which are available on the Polygon and Ethereum blockchains.
How NFT Domain Works?
NFT Domains are hosted in a decentralised way. This means that there is no specific server doing the hosting, similar to what is Cloud Hosting, but with the difference of a clear decentralisation across all of the devices supporting the blockchain.
This allows the owner of the domain to have a complete control over their domain with root permissions, unlike what you would have with traditional domains, making them the only ones in power to decide what they can do with the domain (make a web 3.0 website, flip it for profit, tie it to a wallet, etc.)
What are NFT Domains Used For?
Having no clear control due to decentralization allows NFT domains to have the following applications, when compared to traditional domains and web hosting:
1. They can make your long and boring crypto address short and easy to use by changing it using an NFT domain name instead. This works with most of the cryptocurrencies, including LTC, ETH and BTC.
2. Simple and easy to remember, making working with them a breeze.
3. You get a full control and ownership of the domain for life.
4. You pay only once when you get the domain to own it and there are no other hidden fees and monthly charges as it is not controlled by big tech.
5. There is no limit to how many NFT domains you can own and you can sell them very easily.
How to Get an NFT Domain?
Step 1: Create an account at Unstoppable Domains.
Step 2: Type in the domain name you are interested in registering and you will get an extended list of suggested domains available at different prices.
Step 3: Choose your favourite among the suggested domains and add it to your cart.
Step 4: Open your cart from the website’s top-right hand corner and complete your purchase by selecting the payment method.
Extra Tip: Unstoppable Domains is by far the first and best platform for NFT domains so far, but you can also check other NFT Domain sellers if you are interested in other platforms or blockchains.
How to Mint NFT Domains for Free?
Below are the steps it takes to link your domain to your crypto wallet and mint it for free using Unstoppable Domains:
Step 1: Go to your profile on Unstoppable Domains. After your have purchased your domain, go to Domains – My Domains and you should see it there. Once there, click on the “Free Mint” button next to it.
Step 2: Make sure to confirm your e-mail address by entering the code sent to it as a security measure.
Step 3: Choose to which wallet you want to tie the domain to. If it is not supported, you should create a wallet on one of the supported platforms. We suggest using Metamask as it is the safest option.
Step 4: Click “I Understand” to confirm and the “Confirm” to mint your NFT domain.
Minting an NFT domain means making it a part of your wallet and owning it completely. You can later sell the domain for profit or use it to build a web 3.0 website.
How to Make Money With NFT Domains?
1. Buy the NFT Domain.
2. Mint the NFT Domain to your wallet.
3. List it on NFT Domain Marketplaces at the right price that will make it desirable for investors.
How to Make a Website from NFT Domain?
Creating a website from an NFT Domain is still at its early stage of development. However, if you want to make your own web 3.0 site, make sure to check out the official extended guide by HTH on How to Create a Website on The Decentralized Web.