How much it cost to sell my first NFT (2021)

[@MrClockw3rk]

Thank you for this. This is basically the first question everyone needs to answer.

[@symph1744]

So basically artists are still getting effed like they always have been

[@Alex-sz1kd]

Just sell 200,000 dollar nft's

[@25maxman]

@Daniel I don't think they have to make life changing work to get paid well (or maybe I don't know what you mean)

[@Changderson]

@Daniel by educating us on all that science and logic can't.

[@simonal2049]

if this is what NFT is, it sounds hella stupid for selling it for that cheap.

[@thepanman8]

Ya beeple in his interview said he lost almost 15mill in his sale. Gallery's cut afterwards

[@nathanguadalupe]

This sounds like a money pit unless you already have a strong social media following/fanbase.

[@ModularIsl]

Basically rich getting richer 😆

[@SkyDread]

Exactly ! I started my own collection of something quite original I think, but I am a nobody and no where to efficiently share my link. I don't want to spam or bother people so this collection is deeply hidden in the NFT words where nobody can find it. Maybe that's part of the original concept, maybe not.

[@SkyDread]

@@ModularIsl I would say, the most popular get richer. There are not especially rich but could be with NFT for sure.

[@crushgroovey]

that´s why they call it a pyramid scheme all over social Media - Strong Following = great Sales

[@ModularIsl]

@@SkyDread most artists are introverts popular just isnt a thing for us. its really a dry tunnel

[@DavidLaMorte]

Not enough people are talking about this. At least your NFT sold, I’m still in the hole.

[@WhatDoesEvilMean]

I just tried to buy my first NFT on Opensea -- it was around $5, and Opensea wanted to charge me $60 in gas. lol Do people have to pay gas fees when they *sell* a piece if the buyer isn't paying when they buy? I'm totally confused by the gas fee thing. I thought the gas fee only took place at the minting stage.

[@deep8673]

@@WhatDoesEvilMean it works different for different platforms , open sea kinda takes the gas fees from the buyer, where platforms like makers place and rarible charge the gas fees from the seller

[@vn88ttt]

@@deep8673 OpenSea charges a one-time fee for sellers at around $100 or sth (depending on current gas fee)

[@vn88ttt]

@@WhatDoesEvilMean gas fee actually represent how "crowded" the (distributed) servers are. On one hand it represents live supply-demand traffic. But on the other hand everything looks messy and inefficient, because your need to sell/buy arts have to compete with millions of other needs. But at the end of the day, think about the gas fee as a premium for vising or listing your art at a semi-prestigious, local, physical gallery. If you are a not an established artist, selling NFT is going to be a gamble. If you are not a wealthy collector, buying NFT to resell is going to be a gamble as well.

[@kickstart360gaming]

@@WhatDoesEvilMean gas fees exist any time you have to use the blockchain or the blockchain has to be changed to accommodate your activity

[@ceciliahamilton5278]

Brilliant and much needed. Have been in art galleries for 30 years. Why are artists always handed the short stick ? Someone's getting rich ... and yet.... nothing seems to change in this brave new world...

[@m_disulphide]

Capitalism

[@vn88ttt]

@@m_disulphide all countries are either capitalist or communist-in-name only.

[@flickwtchr]

@@vn88ttt Nordic Economic Model is a mix of capitalism and a very strong socialist component where people don't lose their entire life savings over one serious illness, like in the good ole USA. Freedom!!!!!

[@vn88ttt]

@@flickwtchr Wait until immigrants take enough advantage of that socialist components, and Nordic countries will be come good ole USSR.

[@julieg3747]

@@vn88ttt You really need to educate yourself on Immigration and the real reasons behind it. Europe is wealthy because of the stranglehold it has on other nations so give me a break

[@DragunnitumGaming]

alright, i'm not gonna touch NFTs then 😂😂

[@cryptosfool]

And the IRS taxes and State taxes that must be paid... Around 30% of your profit.

[@MueedAhmad2001]

True.

[@TheWilliamHoganExperience]

Sort of - a 30% gross profit margin is actually pretty good for retail sales if you have high volume or unit price and low overhead. (fixed) expenses. You can write off all of your business expenses against any gross profit for your business at the end of the year. The net effect of this is a reduction of the cost of your expenses by the percentage of the tax bracket your net income as a sole proprietor of a business lands you in. If it's 30% then if your net income was say $100k, you'll owe $30k in federal income tax, but you'd have to sell an awful lot of NFTs at a $62 a pop NET profit to owe the IRS $30k - 1,612 of them to be exact, and that assumes you don't have any other expenses like rent, materials, labor, and depreciation of equipment like furniture and computers and so on. His calculation only shows GROSS profit. COGS rules are fairly complex, and how you calculate profits and deductions depends on many factors, including the type of accounting method you select. Long story short, he's unlikely to end up paying much tax as a percentage of his art sales gross profits unless his profit margins and/or sales go through the roof (or to the moon). That's a good problem to have! Just make sure you keep track of and report your income and expenses to the IRS. You don't want trouble with IRS or your state tax board. A lot of successful artists get in trouble because of poor financial management leading to crushing tax liabilities or worse. I've used a CPA for years, and he's worth every penny.

[@MueedAhmad2001]

@@TheWilliamHoganExperience I read your entire comment.

[@cryptosfool]

@@TheWilliamHoganExperience All good points. I add "do not try to screw the IRS" ... as you said good record keeping and paying taxes is NOT bad...it means you have made $$$.

[@Plutus612]

This is the art world. It's all about who you know.

[@anitahamlin2411]

You break down some very valid points. One has to take these into account for pricing research before making an NFT. Putting your artwork into shows and on line cost money. Ain't nothing free about the artworld. I say this from many years of experience. Glad at least you didn't go into the negative to learn your value.

[@chrishilton6378]

So congrats on the first NFT sale and the $62.50 profit. The questions you didn't answer were: 1) How long did it take for you to make the art? and 2) How long did it take you to manage the sale? and finally 3) With those questions answered, what is your hourly wage and do you really believe it was worth your time?

[@darrell_dee97]

Thank you for your transparency in sharing the reality of what to expect in true NFT auction from setup to conversion back to real money from the sale. Yours is the first video I’ve seen do this. More proof that there’s always a cost and no shortcuts to making money as an (employee, business owner, investor, self-proprietor trader, NFT artist) etc.

[@rahuljonline]

I minted an NFT for free from Mintable. I want to know the advantages of paying for minting over the free ones.

[@Nogardtist]

lets say NFT fee is 500$ and you can sell it for millions but no one is interested in buying your NFT meaning you fell for a pyramid scheme and got scammed congrats you won yourself

[@marleymcfly]

Thanks for the info. The good part about NFTs right now is the hype - bringing it legitimacy. I'm a small artist, and when I'm ready to pay these outrageous fees, NFTs will still be around so it's all good. In a year, the hype will die down a bit and I won't get lost in the crowd.

[@rybfish76]

You do realize you can code on the blockchain and mint your own art on your own website. You do not need to use these so-called, high-end art marketplaces. Just food for thought, don't get caught up with the mentality, oh the cool kids sold their work here so I need to do the same. I think a lot of artists are missing the big picture - the royalties! Think long term - build your audience - sell at a good price - make the royalty worthwhile. Anyways, I didn't mean to come off critical, you made a great video and I appreciate you sharing how much it costs to be on these art websites when in reality - mintable, open sea, or nifty gateway - it's the same thing.

[@jacobcosquer]

It is so important for people to shed real light on topics like this, as I have not seen anyone else bringing this up. Appreciated. Would love to know how you got the invite to Foundation in the first place!

[@inkedzoo6563]

This is an extreme example. Foundation has THE HIGHEST FEES of any platform out there, particularly because you are paying for an escrow service

[@NikOutchcunis]

Damn dude. Thanks for this, it's eye-opening

[@MKNature46]

It’s relevant but ETH will be replaced somewhat. There’s plenty of NFT projects opening for Altcoins and even USD/etc functions.

[@Barada73]

Are all the fees based on the value of Ethereum at that point in time? So these could all go significantly higher as the price of Ethereum goes up?

[@Legit3o6]

Just don't make NFT if your only a small time artist. Be real with yourself. NFT's are massive for those big name artists and big timers.

[@robadormartinez499]

87 usd is just first time you create and activate the account, i´ve listed 3 NFTs, no extra fees for me at OpenSea

[@TheGodTheory13]

Like no fees(minting/gas) at all after the first 87usd?

[@robadormartinez499]

​@@TheGodTheory13 I dont have any ETH on my metamask account since i´ve paid the first fee, and Im listing new NFT constantly, so I think is it.. lol After sell it I think it will be a fee but not for minting, just the 1st time.

[@leslukis]

@@robadormartinez499 after your art nft sold you need paid fee gas for selling fee?

[@robadormartinez499]

@@leslukis idk never sell anything LOL but I think is a transaction fee yes, like any other token on a ETH chain, like a crypto-currency token one.

[@Ogsonofgroo]

Thank you for this breakdown Joseph, I've been curious about digitalizing and posting up some of my art images, this makes me re-think the whole thing more rationally.

[@richartillustrator9316]

Thx for speaking about the 'dirty' side omitted from almost everyone who speaks about the NFT thing!!!

[@ModularIsl]

Only thing you missed is how to get the money out. Let the escrow build across multiple sales and only get the money when you don’t notice the gas so much

[@TokenWeb]

That's makes great sense to avoid foundation..app. Fees on other apps are smaller. Btw, not listing for "too little" is not a solutions as the foundation's fees are set in % out of the selling price.

[@CritelliArt]

Yet again, the people making the real money are the ones selling the dream(the platforms and people behind crypto tech) not the ones hoping to live the dream of actually being compensated for their time and skill.

[@MrTynanDraper]

Thanks. My takeaway is that unless you are already semi famous on the socials... don't bother! This technology needs to evolve to be way cheaper and use way less energy.

[@rockon8174]

You can use Mintable or OpenSea.

[@MrTynanDraper]

@@rockon8174 I am using OpenSea. $150 + to sell my 1st item. If it does not sell I'm still out that money.

[@rockon8174]

@@MrTynanDraper that's the initiation fee for your store. You don't get charged everytime you want to list your item in OpenSea. That's way better than Foundation. If you don't sell on OpenSea, you most likely won't sell on other platforms. You STILL have to advertise your art!

[@TheGodTheory13]

@@rockon8174 Is there no fees at all after 1st item on OpenSea?

[@rockon8174]

@@TheGodTheory13 says so right on OpenSea. Spend time reading, my friend.

[@akismavromatis9633]

That's why DaVinci gallery is going to make the difference. Almost 0 fees for every transaction.

[@IndritAlushani]

I'm glad you're bringing this up. What doesn't get talked about. Congrats on your sale at least.

[@sallam_]

Bro you are the legend we needed You explained everything and this video was all we needed💚👍

[@FOHPodcast]

Facts! Aren't you going to grab royalties on every sale of that art forever though? Maybe in the next few years it'll have grown to selling for $100k, you'll grab 10% or so of that right?

[@coolcatfunhouse]

Thank you for this video, and you delivered it well. I didn't know the 'Minting and Listing' fees could add up soooo quickly.

[@keithrispin]

And THAT is the reason I can't bring myself to bother selling NFT's

[@zavulon00]

@Spaceman Savvy hoowww

[@jesseflinsenberg2920]

i could help to sell for free! if intressted

[@letsfindsomepeace9207]

@@jesseflinsenberg2920 how would you help

[@h4nsdampf]

mintable.app

[@sangnguyen9437]

@@jesseflinsenberg2920 Would you help? I want to learn that

[@kevigard]

And thats why Im waiting to release mine on Cardano...

[@Ancorarte]

They have a platform to sell art, NFT?

[@dergenius8534]

@@Ancorarte that's why he is waiting

[@Ancorarte]

@@dergenius8534 he could be waiting to be selected, as in the main platforms.

[@fiolaja]

Exactly! Hopefully by the end of the year there will be a good selection of NFT platforms to choose from on Cardano. Ethereum is going to lose a lot with these crazy gas prices.

[@ErinLAnderson]

Same!

[@zackse7en426]

A good episode for newer ones. But if the sale price is higher, then the percentage would be not like that.

[@WarriorAnuhazi]

Hopefully with 2.0 ETH during this year Gas fees will drop a bit, at this days is totally insane,

[@detechsworkshop]

Ty Joseph, great video. I was going to Mint my first artwork today and it was $116... I am still in shock. So many struggling artists are trying to get into this and they are being robbed.

[@AngusGiorgi]

This is completely insane. What's wrong with everyone using Eth at the moment? These fees are unacceptable. I purchased and collected a lot of art from artists on Phantasma and if the artwork was listed at $100 or at $700 that's exactly what they got. They didn't have to pay "fees" for selling the work beyond their original listing fee, and their listing fee is only 20Kcal per NFT which is something like a dollar. If your platform is doing this to you then they are a bunch of fxxxing criminals which seems to be every platform on Eth. Having to pay an "escrow" fee just for money from a sale to go into your wallet is just completely outrageous. When I bought art, as soon as I confirmed the transaction on my Poltergeist wallet the price of the NFT being sold went directly out of my wallet and straight into the artist's wallet. That's what the blockchain is for and is supposed to do. It makes payments from one wallet to another instantly in a final manner without a gatekeeper in the middle. The fact you were charged Escrow proves that Foundation is full of crap when it claims to be an artist-led platform. So did you ask who gets those escrow fees? Is it all you artists, or is it the arseholes who created the platform?

[@Batang90s]

You can mint your nft with rarible for free. It will only minted once your artwork is sold. And there's so many alternative blockchain that you can create nft which is cheaper gas but not that much user for exposure. Ethereum got a lot of users that's why it's so crowded.

[@thewaysh]

Cardano's NFT platforms are going to fix the problem with the ridiculous fees that ETH NFT platforms have, have a bit of patience guys!

[@seriousissues2012]

When is that supposed to happen? I can wait as long as I know about how long it’s gonna be.

[@CalvinHeath]

I pay a total of about $40-$50 to list on Rarible. Profit margins of about 300% average. Be smart with it, list when gas is low and be patient. Don’t overprice your work.

[@Digitaldubs1]

thanks for the info, im about to release my first drop this week

[@digvidguy]

Thank-you JOseph for breaking this all down!

[@ColtonRDean]

And what percentage do you get if your NFT is sold again? How high would that resale price have to price be, and/or, how many transactions would you estimate it would take to make back all the money you put in?

[@fluxophile]

Don't forget, everyone - whatever your net profit is from the sale, is taxable income, too. So depending on the artist's normal income, it will be upwards of 25-30% of whatever you netted.

[@myecolove878]

Wow! Thanks so much for the information

[@venuminous]

This is temporary, it will change as soon as Etherum 2.0 is out. NFT platforms are also thinking about moving to Cardano if this is not resolved, also because of the carbon emissions of Eth miners. Remember this is still very new, so many things have to change but the future seems very promising :)

[@germangarcia6118]

So, if I get it right, you still didn't count the fee to transfer the money from your crypto wallet to your actual bank. Right? I assume you didn't and just waited to have more ethereum in the wallet, but if you did, that would put you on red numbers.

[@msca5768]

The problem is not NFT's. The problem is using the worst blockchain ETH for minting NFT's. There are cheaper alternatives for minting and purchasing NFT's with no gas fees.

[@theshermano3000]

Why didn't you use Mintable instead? Just 2.5% transaction fee. It would have cost you $7.15. So minting fee (although if you have your own store, there's no minting fee, essentially) and the transaction fee. Then the money is in your wallet already (as far as I can tell). So no need to pay to get it out of escrow. So am I missing something? Why would anyone use foundation?

[@sancho7198]

Because it's more "premium" there are less artists there because it's invite-only, so more probability of your work getting sold and noticed. Vs mintable 2k works per minute most of them are poor quality, so whales never go there spend money unless it's a really good nft and you pay ads because if you don't it's very unlikely you will sell.

[@theshermano3000]

@@sancho7198 I would say that would be a good point if he had sold it for many multiples of his expenses. But I'm fairly certain that he could have promoted the same work on mintable, to his core audience using various methods and sold it for at least that much, if not more since more people could have seen it. Anyway, seems like the value of the exclusivity doesn't pay any additional dividends. To each his own.

[@3d-illusions]

Why don’t you use a proof of stake minting service to mint your work? I hear it’s a few cent instead of dollars.

[@DevSage]

As a web developer / software engineer, this gives me an idea of what kind of startup I should consider building...

[@tonykietzmann550]

Congrats on the first sale! Thanks so much for your vid, it has really provided good insight into the real costs involved.

[@Ancorarte]

Hello! Can you make a video showing the process to apply for foundation? I noticed you sold well recently, $1000, that's cool!

[@soluciones-adobe]

Excellent explanation. Two questions: if the price of your NFT Art is higher, the GAS & Fees commissions increases or are flat? Thank you Joseph

[@gc.s]

% Fee increases. Gas always costs the same regardless of you listing something for Ξ0.01 or Ξ10

[@koltan1695]

@@gc.s Thanks a lot

[@videosmann]

Amazing video, thanks for sharing the Reality around this hype NFT. By the way, your work is magic!

[@difference018]

You have forgotten one last thing; when you receive crypto for goods and services, in many countries, you have to pay a tax

[@wirelessguyny3787]

Don't forget to pay Uncle Sam ;-) Opensea may be an alternative for you as you can post items as Not For Sale and have people make offers before you even list an item that may or may not sell. (at least that's my current understanding).

[@laurianlamba]

There are ways to create the smart contracts (certificates of authenticity yourself) and store them in IPFS network. Then you would save the "minting" fee. Cannot really get rid of the other ones.

[@worldwidewatchin]

Hey Joseph, thanks for the vid. Good to get to hear what's on the other side of the coin. I heard a lot about the ability to get royalties for future transactions of your art piece. Is that possible as of now on any platform or is this future talk? Many thanks✌🏽

[@riznordin.x]

i read thats true on rarible and opensea too

[@sleepyshinx3623]

Once these NFT companies move to Cardano, these fees will be dramatically less. Eth is robbing artists!

[@awwtergirl7040]

They should move to DOGE.

[@marcoskhan6665]

Wow, just getting into NFT art, great video. So I presume the POS on ETH 2.0 will help with the (gas) fees once it arrives ?

[@leslukis]

it still very expensive.

[@peterson61]

HI and thanks for sharing your experience. What's the situation if a piece doesn't sell?

[@STICKYArt]

Gas fees are extremely high due to the environmental cost and electricity that it takes! Please consider if you are not making thousands or millions of dollars it’s not worth the environmental impact!

[@rdfilmefoto]

its realy hard to begin when U live in Brazil and the dolar it's 5,63BLR.. and my monthly income is 700BLR (witch is 124,59 Dollars).;.. this is impossible

[@prashy89]

Thank you for doing this, really helpful to make everyone aware of the additional fees

[@ciscodisco8966]

This video gives great insight into the full process of creating and selling NFTs. Thanks!

[@danielzalkus1145]

Thank you for this video and information. It's important to see the real numbers about his this all works.

[@RickyDoodles]

Thank you! This video is VERY helpful! 🙏😀 Can I ask you about Property rights? When you adding your artwork to the NFT token, does it mean that the new owners own "full property rights"? For example: You created this 3D cube animation, and uploaded it on your KZbin, Instagram, etc., got views, got monetization. Then you sold it as NFT. Does the new owner can delete this video from your KZbin\Instagram? Or take away your monetization from this video? Because you know, he's the owner now. After you sell it as NFT do you have the right to sell it like the usual non-crypt way? For example to NatGeo that has tv-show about 3D rendering?

[@UmutErhan]

I'm curious about the same thing.

[@edwardrobison3684]

Me, too!

[@larenius1]

@@UmutErhan +1

[@AccademiaInfinita]

Ethereum is still young. Transaction fees will go down to almost zero in a couple of years, or even less when they upgrade their tech. Great info though!

[@patrykpryce]

Very insightful and very much omitted by the bigger artists taking advantage of this rush that fail to bring this information to light as they hype NFT as well as their next drop.

[@victorcaberte6408]

Have you tried opensea? Only the first listing costs gas fee(??)

[@ComedyKraze1]

Look up bsc gas prices.. Use trust wallet and the nft market place provided

[@edwardhoney2436]

There are heaps of other sites which dont use ethereum or POW and have little/no gas fees because they use POS which uses way less energy - also foundation has infamously high fees, if you have a little look around, you can probably find a site which works best for you

[@carlosp.1846]

And you didn’t mention the first fees from dollar to ETH

[@ricardocarnauba]

Hey, Joseph. All those fees will repeat for each new piece you try to sell or are, among those, a fee that is a "one time payment" for you to open your account?

[@rockon8174]

They repeat! OpenSea doesn't do the same crap as FoundationApp.

[@alice20001]

Why the heck would the auction house/listing website charge BOTH a fee for listing AND getting a percentage of the sale price. Either they accept the risk of the art not being sold by having a good sales fee/commission OR they don't want to take the risk and charge a fee for the listing. But both just sounds very extortion-y.

[@jeneakaitazart4887]

Thanks for info! Only for first drop you need to pay all this fees or for every new drop what you list?

[@Immaculate561]

Question? To my understanding in the event an NFT resells the original owner/creator receives a percentage in perpetuity, does 'Foundation' impede or impact these terms? Congratulations on your sale! May this be the first of many to bring you success, thanks for sharing

[@benstern310]

Where do you get nfts from?

[@Virendrakumar-vw6bc]

This is very useful information which is basic and none would tell you in black and white as explained here. Thank you very much.

[@picanco5794]

Witch site is the better? and with last fees

[@leecaste]

You can decrease those fees by checkng gas price before minting and not cashing out with every single artwork, let them add up.

[@ComedyKraze1]

Binance smart chain low fees... you paid the highest fee possible using the eth blockchain i expect.. Take away from this fees vary depending on how and where you sell your nft

[@audioxix]

Should try openseas. You only have to pay gas fee the first time you list. After that the gas fee is tied to your sale fee, so one someone purchases your art, only then will it be minted. It’s a lot better than these sites where you have to mint before you list.

[@McBaaain]

super interesting - thanks for the insight. really appreciate it!

[@Godschild31695]

Really good video thank you!!! Do the fees increase the higher you sell your stuff or is at a set amount? Im new to this so any useful information is much appreciated!

[@akashs2514]

Basically, the gas fee increases based on Demand and supply. It is always best to note the gas fee before minting.

[@gianfrancogreen1178]

Is this just for the site foundation? Or in general?

[@1969MARKETING]

i'm curious. what guarantees the exclusivity of your NFT? what keeps someone from taking your art and reproducing/selling it?

[@1miltond]

Because the business of nft is not for the artists is for the ones who have the platform and used to sale art this worth then gallery's

[@CydnotCharrise1]

So it sounds as if Foundation is NOT the service to use.

[@francevenezia]

Do the fees go up with a higher priced NFT? For example, if your NFT had sold for $1k, would the fees have remained the same as when it sold for $286.44.00 or would the fees have risen (?)

[@michaeld954]

Forget making nft should make the website that sells and mints them

[@ianscreamsvideo]

When you mint multiples of the same token though you still just pay 1 minting fee right? Do you pay just 1 listing fees for multiples also or per token? Thanks

[@abdullahmansoor1]

Is this for every artwork I upload? Also, is it better to have a fixed instead?

[@memememineme]

The time spent would have been good to know too. Time is money.

[@RajSachdeva]

And I thought we were going to avoid all those fees by going digital...

[@fauramusic]

So true! Thanks for sharing! Tbh, heard many negative things about Foundation taxing and it makes me down on the platform. Hope the industry will stabilize and all the greedy mafos will be flushed. It's only we - the artist, how sets the industry, so f***k that.

[@Crybebe]

this is most helpful vid about nfts to date. thank you

[@mugshotpro1]

wow! numbers are the worst. thanks for sharing this