In order to get to the moon, one of the most important aspects of initiating NFT collections is deciding where to mint the coins. Does the fact that everyone is using the Ethereum and Solana blockchains to mint their collections imply that NFT artists should as well? Choosing the appropriate blockchain platform for any NFT project is crucial, as this is the technology with which the clients will interact. Therefore, they must select the optimal blockchain network on which to operate their project.
The Implications of Choosing the Wrong Chain
Choosing an inappropriate chain will cost both money and time. Before selecting a blockchain as the foundation of the NFT collections, it is essential to conduct extensive research and weigh its various features. Otherwise, artists will be subject to the following negative consequences.
Possibility of Chain Failure
With the proliferation of NFTs, the blockchain ecosystem is dynamic, with new platforms emerging. NFT creators should exercise caution when selecting a blockchain; if it fails to sustain itself over time, drops developer support, or ceases operations, they and their users may be exposed to the potential danger of chain abandonment. In the future, this may render their NFTs outdated or make it difficult to transition to another reliable chain.
In addition, directing users to a malfunctioning blockchain platform can negatively affect the brand’s reputation. And NFT launch failures can be challenging to recover from. It will harm the brand’s value over time.
Insufficient Interoperability
Interoperability enables NFTs to interact with other applications, platforms, and wallets in a seamless manner. If the selected blockchain lacks compatibility, it might restrict the visibility and portability of the NFTs, making it more difficult for potential purchasers to discover and interact with the NFT collections.
Lack of Confidence in the Platform
The choice of blockchain can impact how the community perceives the NFT collections. Some distributed ledgers may be related to controversies, concerns about the environment, or unscrupulous practises. Identifying the collection with such a blockchain might result in backlash, criticism, and a loss of interest from prospective customers or collaborators.
Choosing the Appropriate Blockchain: Factors to Consider
Determine Whether a Blockchain is PoW or PoS.
PoW platforms are slower and have higher transaction fees, whereas PoS platforms are quicker and have reduced fees. PoS systems have gained popularity because they are more secure. Different Proof-of-Stake (PoS) mechanisms, such as leased proof-of-stake (LPoS), delegated proof-of-stake (DPoS), proof-of-history (PoH), and proof-of-stake- authority (PoSA), provide security and conservation of energy while demanding a lesser amount of processing power.
Consider the Transaction Rate
The transaction processing of a platform that uses blockchain technology has a significant impact on the effectiveness of any collection as well as the transaction fees associated with it. If the selected chain has a low throughput, users may be required to pay miners higher fees to ensure that their transactions are prioritised over others. Some blockchains have faster transaction rates than others, allowing them to process a greater number of operations per second.
Security is Important
When selecting the optimal platform for any NFT project, it is essential to keep in mind that speed alone should not trump the importance of preserving a high standard of security. There are numerous methods of attack that can exploit blockchain platform vulnerabilities, including 51% attacks and man-in-the-middle attacks. These assaults can lead to the loss of information, access, or financial resources.
To ensure the highest level of security possible while avoiding such security vulnerabilities, select a blockchain platform with a proven track record of prioritising security or one that has been subjected to a comprehensive peer review.
Transaction Fee
Low transaction costs are essential to earning the broad acceptance of non-fiat currencies. Not every NFT artwork or asset is sold at exorbitant prices. While picking a chain for NFTs, one should carefully consider its cost structure or whether it offers cost-effective transactions. Select a chain that offers a fee-free structure if possible, as this will attract more consumers to the collection.
Smart Contract Capabilities
For NFT platforms, solid smart contract capability is essential for setting up trade terms and ensuring platform security. Well-designed smart contracts inspire confidence and provide a solid basis for NFT transactions. Enhance platform security by rigorously testing the smart contract’s robustness and efficacy.
Availability to Scale
On a platform, blockchain scalability requires a high transaction per second (TPS) rate. Three main factors influence the scalability of a blockchain: decentralisation, security, and speed. Obtaining all three characteristics simultaneously is difficult, so it is essential to prioritise two of the three qualities.
Adoption Rate and Performance
Despite the fact that all blockchains operate on the exact same concept, their functionality can vary. Numerous blockchains have become entirely or partially open-source and rely on an effective community to identify and resolve flaws and security vulnerabilities. The adoption rate denotes the degree of implementation a particular blockchain technology has attained. Choosing a technology with an outstanding adoption rate for the NFTs project is a far more intelligent choice than selecting one with a low adoption rate. The greater the adoption rate of a blockchain technology, the greater its potential for development in the future.
Conclusion
When selecting a blockchain platform, one should consider the consequences and match it to their requirements. Avoid putting the money, effort, and reputation in jeopardy. Popular networks are important for the audience. Choose blockchains that are favoured by NFT users. Explore NFT-optimized supply chains that appeal to particular customer bases and could be advantageous for the launch of NFT collections. Consult a native advisor for assistance in selecting the optimal chain, thereby minimising adverse effects.
