Non-Fungible Token (NFT) the markets traded approximately $82 million in 2020 and a staggering $17.6 billion in 2021, indicating growing demand and strong user interest in NFTs. This meteoric rise in digital asset trading spanned everything from whimsical cartoon JPEGs to National Basketball Association trading cards, artwork, music and more. One such marketplace for collecting and trading NFTs is Nifty Gateway.
Nifty Gateway was founded in 2018 by Duncan Cock Foster and Griffin Cock Foster. In 2019, it was acquired by Tyler and Cameron Winklevoss' cryptocurrency exchange, Geminis. Nifty Gateway is positioned as a high-end NFT marketplace in the ethereum blockchain, partnering with the best artists, musicians, athletes and digital brands to create exclusive limited edition releases. The platform has sold NFTs from Beeple, Pak, Refik Anadol, rapper Lil Yachty, and other widely followed NFT artists.
During the peak of the NFT market between May 2020 and April 2021, Nifty Gateway launched 6,623 NFTs representing the artworks of 418 artists with total reported sales of $403.8 million across its primary and secondary markets.
Related: Investing in NFTs: A Beginner's Guide to the Risks and Returns of NFTs
What makes Nifty Gateway unique?
There are three things that make Nifty Gateway's Ethereum-based NFT marketplace stand out:
Curated and verified art
Artists Launching at the Nifty Gateway NFT Market They are often well recognized and acclaimed in the art community. Many of them have celebrity status in the crypto art community, making their work verifiable, legitimate and expensive.
Nifty Gateway is selective about who gets to display your artwork on the platform. Before being allowed to mint and issue NFTs, artists must successfully complete an application and interview process. In this respect, Nifty Gateway is similar to modern art galleries that assemble, manage, and present verified collections.
exclusive drops
NFT releases often refer to a creator releasing a new limited edition NFT or an entire collection of non-fungible tokens for sale. Collectors can purchase the dropped NFTs before they run out. While many platforms do airdrops of non-fungible tokens, Nifty Gateway is particularly known for its exclusive art drops, which are limited edition and in limited quantities, often selling out quickly due to high demand.
Nifty Gateway's partnerships with top artists, musicians, and creators aim to ensure releases happen exclusively on their platform. This furthers the exclusivity of the Nifty Gateway brand.
In February 2021, Beeple launched their NFT "Crossroads" and "Spring/Summer 2021 Collection" through an exclusive delivery at Nifty Gateway. โCrossroadsโ was designed as a response to the 2020 United States presidential election and sold for a whopping $6.6 million at Nifty Gateway.
Fiat access ramp accessibility
Nifty Gateway supports US dollar fiat currency for US bank account holders, allowing NFT purchases with credit and debit cards. This feature is rare for NFT markets as others like OpenSea, SuperRare and Blur can be accessed through a web3 wallet.
Nifty Gateway is a subsidiary of the Winklevoss twins' cryptocurrency exchange Gemini LLC. This allows it to work with Gemini's secure, institutional-grade infrastructure to explore various crypto and fiat payment methods.
Related: Cryptocurrency on and off ramps, explained
How to get started with Nifty Gateway
The following steps explain how to set up a Nifty Gateway account:
Step 1: account registration
Sign up at Niftygateway.com/signup with a valid email and password to get started. Alternatively, the option to connect via a Web3 wallet is also available.
Step 2: Fill in the profile details
Once the account is created, it is recommended to enter other important information to improve the user experience. Uploading a profile picture and toggling the profile icon to your liking is a good place to start.
Step 3: Add a payment method
There are three payment options available to choose from: linking the account with a Gemini wallet, connecting with a Web3 Digital Wallet as MetaMask to confirm transactions or add a credit or debit card.
How to buy NFTs at Nifty Gateway
The following steps will guide anyone interested in buying NFTs at Nifty Gateway:
- To buy an NFT, visit the Nifty Gateway marketplace.
- Browse available NFTs by artist, collection, or category. The search function is also available to find NFTs or specific collections.
- Choose an NFT and buy it with your preferred payment method. Purchased NFT can be sent to your MetaMask wallet or Nifty Gateway account.
How to sell NFTs on Nifty Gateway
The steps to sell NFTs on Nifty Gateway are listed below:
- To list an NFT for sale, go to the "My Collection" tab in the Nifty Gateway and click the "Post an Item" button.
- Enter basic information about the NFT, such as its name, description, and price.
- Users have two payment method options for selling NFTs: they can post them for sale directly from their MetaMask wallet for Ether (ETH), or they can sell them for US dollars by signing up to be an authorized seller using Stripe. When someone buys the listed NFT, the funds are transferred to the linked wallet.
How to gift NFTs at Nifty Gateway
Gifting NFTs is one of the features offered by the Nifty Gateway, whose account holders can send NFTs to other users on the platform as gifts to anyone simply through a valid email address.
To send an NFT to a user on the platform:
1. Open the "My Collection" tab and select the NFT you want to send.
2. A new page will appear. Click "Send Nifty." Enter the recipient's username in the search box and select their profile (you can even add a personalized note if needed).
3. Click "Send Nifty" to confirm your transfer. The transfer is instant without gas rates for transfers within the platform.
Apart from this, Nifty Gateway also allows you to gift NFTs to anyone who is not on the platform through a valid email address, as explained below:
- Find the NFT you want to gift and make sure it's available for gifting. Some NFTs may not be giftable so please check before proceeding.
- When selecting the NFT to gift, click the "Gift" button. This will open a new page where you'll need to enter the recipient's email address (and add a personal message if you'd like).
- Next, choose whether you want to give the NFT immediately or on a specific date. After selecting the gift option, review the details and click "Confirm" to complete the transaction. Secure some funds to pay transaction costs. The recipient will receive an email notification with instructions on how to claim the gifted NFT.
Nifty Gateway Pricing and Fee Structure
Nifty Gateway has a standard fee system consisting of two different models: V1 and V2, as defined by Nifty's WalletHub documents.
method V1
This model is for quotes held in the Nifty Gateway escrow model. Using this approach, Nifty Gateway charges a 5% reduction of the sales price. Credit cards, Ethereum wallets or Gemini accounts can be used to make the payment. Also, there are no gas fees associated with these transactions.
V2 method
This applies to any provider listing an NFT for sale using an Ethereum cryptocurrency wallet like MetaMask. ETH must be used to pay for these transactions, and Nifty Gateway charges a 2.5% fee on the total sales price. Users must pay gas fees when completing these transactions.
Is Nifty Gateway secure?
As with all NFT platforms, it is important to consider the security of using them and ensuring that your digital assets remain protected. In general, Nifty Gateway has taken steps to ensure the security of its users. The platform is backed by renowned investors and has been used by many high-profile artists and celebrities.
Nifty Gateway also employs industry standard security measures such as two-factor authentication and encryption, to protect user accounts and transactions. In addition, Nifty Gateway benefits from parent company Gemini's focus on maintaining best practices for security in the cryptocurrency industry.
Gemini completes routine banking compliances, follows financial regulations, and uses hardware security and escrow services to keep the Nifty Gateway wallet safe. Is custody system model ensures that the exchange has ownership of all the NFTs listed on its platform.
Despite this, Nifty Gateway is not immune to attacks. In March 2021, some Nifty users complained about an "account takeover", in which their NFTs had disappeared from their Nifty Gateway accounts. Nifty Gateway claimed that their website had not been hacked and that the affected accounts lacked two-factor authentication, compromising their own security. According to reports and certain consumers, Nifty Gateway managed to recover the stolen goods.
Also, as with any investment or financial transaction, there is always some level of risk involved. NFTs can be volatile and their value can fluctuate significantly over time. It is important to do your own research and understand the risks before investing in any NFT.
