Looking for a new way to grow your digital assets? Whether you’re new to the world of NFTs or if you’re experienced and looking to expand your horizons, finding the right platform to help you make the most of your digital portfolio is crucial.
The cryptocurrency market is saturated with lots of different platforms that boast different benefits for users. NFTs differ from cryptocurrency, however, in that they are like a deed of sorts representing a piece of digital property that can be bought and sold within a particular online marketplace.
One such marketplace is Rarible, a relatively new platform that’s predicting the rise of digital content ownership and helping users to jump into this trending and valuable method of asset expansion.
What Is Rarible?
Rarible is an NFT marketplace and platform that deals in digital artwork. These NFTs range from literal art to memes and games. The concept of NFTs, or non-fungible tokens, originated in 2014 with a game called CryptoKitties, in which users could buy and trade virtual cats with cryptocurrency value.
NFTs have come a long way since then, and Rarible joined the NFT marketplace in 2020, just as this industry was starting to gain momentum. The founders, Alex Salnikov and Alexei Falin, gained initial funds from CoinFund, a blockchain investment group.
Rarible’s vision is to provide an online space for peer-to-peer relationships between buyers and sellers of intellectual property in the form of NFTs. Selling NFTs in this form is safer for creators and buyers alike, as the blockchain network protects transaction data as well as ownership and copyright information.
Rarible is now one of the top platforms for buying and selling NFTs. They were also the first to launch their own governance token, RARI. This is a form of cryptocurrency by which users can gain a sort of controlling interest, like shareholders, in the way the platform is run and its direction for the future.
How Does Rarible work?
So how does it all work? Rarible runs on an Ethereum blockchain network to operate its art marketplace. Creators can offer their work for sale either through ERC-721 token standards, which are for the sale of one-of-a-kind assets or through ERC-1155 token standards, which allows multiple editions of one item to be created and sold.
To get started, you must have your own third-party wallet platform as well as cryptocurrency in the form of the Ethereum network-based ether (ETH) unit. On the Rarible platform, you can link your wallet, create an account, and start browsing to build your collection.
Because multiple forms of NFTs are available on the platform, you can browse based on categories, such as memes, art, photography, games, and more. You can purchase NFTs through flat sales or through auctions, whichever the seller indicates.
With the majority of third-party wallets, such as MetaMask, the Collections section of the wallet will display all purchases.
As with all NFT platforms, the actual purchase uses tokens instead of the digital art item itself. When the digital item is uploaded to the platform, or minted, it is also tokenized. This means that the platform creates an accompanying deed for ownership of the virtual item.
This is what is actually bought and sold. Using a token instead of the item itself for the transaction helps to keep the property data safe as the information is relayed and stored on the blockchain.
What Currencies Can You Use on Rarible?
Currently, Rarible runs on an Ethereum blockchain network. As such, ether (ETH) is its form of accepted cryptocurrency for the purchase of NFTs. You must also pay all associated fees using this form of currency. It’s currently the most popular form of cryptocurrency after Bitcoin.
Although Rarible has announced its intentions to transition over to a decentralized autonomous organization (DAO) with the help of its token RARI, this move has not yet occurred, so RARI is not yet an accepted form of cryptocurrency on the platform.
What Types of NFTs Can You Buy on Rarible?
Although NFTs differ from cryptocurrency, they are similar in that their value can rise and fall somewhat unpredictably. NFTs, in particular, are hard to nail down when it comes to value, as this can be very subjective.
While some platforms cater to different, more specific categories of NFTs, you can find a wide range on Rarible. Intellectual property in the form of gifs, memes, music, animated videos referring to pop culture or sports history, domain names, and more are available in the form of digital collectibles.
Some of these items are unique and one of a kind. However, some of them exist in small batches depending on the token standard, as mentioned above. This, of course, impacts the price of the digital item in ETH.
How Do You Buy an NFT on Rarible?
Buyers can purchase items either through flat sale or by auction. To make a purchase, as long as your third-party wallet is linked to your account, the purchase process is simple and easy.
No funds leave your wallet until the transaction is complete. And the Ethereum blockchain keeps all your data and funds safe.
Do You Need to Store Your NFTs? How Do You Do So?
Rarible is one NFT platform that allows the integrative storage of NFTs. It partners with the OpenSea platform and allows all Rarible-purchased NFTs to be stored on OpenSea if desired.
It also allows integrative selling. Any NFTs purchased on Rarible can be sold on OpenSea; likewise, any NFTs bought on OpenSea can also be sold and stored on Rarible. This collaboration makes it extra easy to own NFTs and sell them.
Selling on Rarible and Selling Options
With an existing account and linked wallet, it’s relatively easy to sell an original NFT within the Rarible community. It’s as easy as uploading your intellectual property (most commonly in the form of jpeg, png, or gif format) to rarible.com, filling out its description, and specifying how many copies you want to make available.
All of this takes place on the same page on the platform. In this same process, you can set your own commission fee up to 20% and decide if you want to sell through auction or flat sale, as well as indicate your asking price in ETH.
From here, you move on to tokenize your work or create the unique representative token that acts as a deed of ownership. You start this process by clicking on a button that says “mint token.”
If you don’t want to sell your digital property right away, you can also choose to simply store it in your wallet as a part of your digital collection. This, as well as selling right away, are subject to platform fees.
For all transactions, Rarible charges a 2.5% listing fee to both seller and buyer. For 5% of the final sale price, the seller can take on both sides of this fee to further incentivize the sale of an item.
NFT uploads by the creator are also subject to a gas fee in ETH, which changes day to day, as it’s simply the computing cost of running the information through the blockchain to mint an item.
Sellers do receive a commission, though, every time one of their digital items is sold, even through secondary sales. Smart contract technology makes this possible.
Is Rarible Safe to Use?
Because Rarible is non-custodial, you continue to hold all your funds until you engage in a transaction. Since it’s also a peer-to-peer platform run by blockchain technology, there is no middle man, such as a bank. So your funds and data stay safe.
NFTs are also safe to own digital art pieces because they can’t be forged, replicated, or stolen. You know exactly what you’re getting based on the token standard.
However, like with many forms of digital ownership, value can be volatile. Many digital content owners can choose to HODL their property long-term. This simply means that they neither sell nor trade it, opting instead to hold onto it as an investment.
Pros and Cons of Rarible
Rarible is a unique and versatile platform that lets users upload, sell, and buy multiple types of crypto-collectibles that are either rare or one of a kind. It’s built on safe and trustworthy technology, and its high functionality makes the process of minting and collecting easy.
However, its artist standards aren’t as stringent as some platforms, like SuperRare, and just about anyone can upload digital items. Beyond that, the buyer and seller fees, while comparable to many other platforms on the market, may deter some users.
While the Rarible team is working on technology to support an in-platform wallet, the process is not yet totally functional. You also have to have a third-party wallet before using the platform, which only accepts ETH as currency.
Frequently Asked Questions
Have more questions about Rarible? Dive into these FAQs for answers.
Does Rarible use Ethereum?
Ethereum is currently the only accepted form of cryptocurrency supported by the platform. Since it’s run on an Ethereum blockchain network, ether (ETH) is necessary to make purchases and pay fees within the marketplace.
What is the best wallet for Rarible?
Many popular crypto wallets work and integrate well for Rarible users. Among the most popular are CoinBase, MetaMask, Fortmatic, and of course, MyEtherWallet.
Can anyone sell on Rarible?
Unlike some other platforms with long and choosy application processes, anyone can sell their intellectual property on Rarible. You simply have to have an account and a linked wallet and proceed with the uploading and minting process.