Create NFT Whitelist
NFT Whitelist to ensure only active members will be allowed to Mint before the public does.
NFTs are growing in popularity and value. Consequently, the collectors and investor count are also increasing tremendously. That said, it becomes necessary to offer privileges to the true and loyal supporters of a project.
In this regard, project developers create an NFT access list, known as a whitelist, and add faithful supporters to it.
What is an NFT Whitelist?
NFT whitelisting offers an excellent means to reward loyal community members by ensuring them early access and protection from unnecessary competition.
The prices of NFTs are lowest soon after the launch, creating fierce competition among the buyers and causing the transaction fees to surge. To avoid these issues for loyal supporters, project developers add them to the whitelist, enabling access to the low-priced rare NFTs much before the public launch.
In essence, your crypto wallet would reside on the NFT whitelist until your allotted time slot arrives. This technique fosters democratizing of NFTs, ensuring access to faithful supporters by helping them avoid the cut-throat competition and spike in gas fees.
Why do NFT projects organize allow lists?
Almost all NFT projects resort to whitelisting, which offers two main benefits. First, it is a great way to reward loyal community members. Second, whitelisting provides a means to create momentum prior to launching a project or an NFT drop.
Generally, projects use whitelists as a way to honor the loyal community members whom they choose from their followers on Twitter or Discord. They provide privileged access to these members to the drops during the pre-sales and save them from the surging gas fees.
In this growing era of blockchains and Web 3.0, NFTs are always burgeoning somewhere. It may not be possible for collectors and investors to keep pace and be always prepared for the right action. Being a part of the project whitelist ensures that you are updated with the market trends and increase your chances of making the most money out of NFTs.
While there are various benefits that whitelisting offers, some of the primary ones are discussed in the upcoming sections.
One of the popular ways that project developers adapt to increase their outreach is by engaging with loyal community members. They reward active community members by adding them to the project whitelists. As NFT projects proliferate, it’s difficult for members to -
Reduce network congestion
Non-fungible tokens, usually supported on the Ethereum blockchain, often result in increased gas fees during events like NFT drops. The spike in network activity in such cases often hampers the user experience. It results in an increase in competition among buyers to mint NFTs, thereby triggering network congestion and hiking the transaction fees.
Whitelisting avoids a situation wherein all NFT supporters need to grab the NFTs at once. Through whitelists, project developers spread the NFT drops across phases. This, in turn, reduces network congestion as it regulates the number of NFTs per wallet and when the tokens must be minted.
Besides community engagement and reducing network congestion, whitelisting can also help you build your online presence. With the metaverse era already in, NFT avatars hold the enormous potential to replace profile pictures on social media. By being a whitelisted member, you get access to the perfect NFTs, which most collectors lose while waiting for the public launch.
The benefits of being on a whitelist
Whitelisting offers various tangible benefits to loyal supporters and NFT fans that help in many ways. Check out these in the upcoming sections!
As a loyal NFT enthusiast, you would certainly want access to the most “ideal” NFTs. The most amazing NFTs attract a lot of attention. However, the chances of gaining access to them are slim. The irony is that these get sold out during the initial launches or drops. By being a part of the project whitelist, you get guaranteed access to all virtual tokens that you can afford!
It’s the NFT’s rarity that makes it scarce and thus valuable. Any ardent NFT collector would aim for this class of non-fungible tokens. That said, securing your chances to gain advance access to the project’s minting process would ensure a sure shot way to this “creamy” layer. Say a project launches 5000 NFTs, some 100 or 200 NFTs would be truly rare in their attributes and features, thereby making them valuable.
Investors and collectors waiting for the NFTs to open for public minting often lose access to these niche NFTs. However, being in the project whitelist grants you an opportunity from developers to acquire the tokens that everyone craves!
With the aim to increase the growth and momentum of their projects, most NFT developers offer free tokens or discounted prices to several whitelist members. Developers boost their initiatives by creating numerous whitelist spaces.
The losses, if any, incurred by the developers through the offering of free tokens or discounted prices are made up from the royalties they receive on resale or the free promotions that whitelisting affords. That said, you would get an opportunity to avail such discounted prices only by being a whitelisted member.
Another less obvious yet important advantage of being in the NFT project whitelist is that you become a part of the NFT communities. This offers the privilege of getting acquainted with the ecosystem and learning new lessons which can be of use in the future - turning you into a seasoned investor!
Whitelisting ensures that NFT project developers come in contact with real, interested buyers who intend to purchase their assets rather than some inanimate bots. In essence, NFT whitelisting fosters credibility and builds trust between the buyers and the project developers.