Early access, lower gas fees and reduced risk of spam are some of the benefits of having your wallet address whitelisted.
NFT whitelisting, in the simplest of terms, is the process of getting a crypto wallet address pre-approved for minting a drop.
Crypto is a game of early adoption. The earlier you’re in, the greater the chance of seeing significant value over the lifecycle of the project. Think about the people who got into Bitcoin below $1,000. The same rings true for NFT projects. So how do you get in early? NFT whitelisting. It’s the process by which your wallet address is pre-approved to gain exclusive access to an NFT drop before it is made available to the general public.
Remember that NFTs could be anything. A piece of digital art, a plot of land in your favorite metaverse, or even a collectible item in play-to-earn games. As demand grows for NFTs, projects are finding creative ways to reward their community supporters. So what are the benefits of whitelisting?
Access at the Presale Level
What’s the best way to reward early adopters? By giving them early access to a project at pre-public market prices. While there is no standardized path for whitelisting, the simplest form can be holding a certain amount of that project’s token at a certain point in time (hence the early adoption). Other methods include contests and giveaways through community social channels.
Helps Mitigate Spam
Whitelisting an NFT drop can ensure that mass account registrations are negated. It also prevents spammers from flooding the system and spiking gass fees thereby affecting the smaller investors.
Avoids Gas Fee Hikes
Gas fees are a crypto user’s worst enemy. So when many crypto users are trying to mint from the same NFT project, there is an immediate race to mint thereby charging up fees leading to ‘gas wars’. Early access avoids that.
It’s important to note here that having early access to an NFT project does not guarantee a profit. Do your own research, maybe participate in the community via the social channels to get a sense of the support level for the project. A red flag is when conversation centers around the floor price growing and less so over utility and support for the project. Finally, never click on a link without double checking it, even if it comes from your favorite project. Binance offers a solid breakdown for newer crypto users here that could help guide you along the way.
Source : bsc.news
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