Binance launches a ‘fair way’ for serious buyers to purchase NFTs
The more the demand rises, the harder it becomes to purchase a nonfungible token (NFTs) at its initial launch.
Owing to its limited supply and high demand, several NFT drops have been sold out within only a few seconds of release. This leaves users with a sincere interest in NFTs with no choice but to wait until the next release or when owners decide flipping NFTs for some profits. It then leads to higher costs that the collectors have to pay, failing which they are unable to acquire it.
Owing to all of the above reasons, Binance has introduced a subscription mechanism that would enable everyone to have an equal opportunity in buying newly-released NFTs in its marketplace. Its new NFT Subscription Mechanism would allow users to have a higher chance of the ability to purchase NFTs by limiting the allowed amount of NFT purchase per person and then following a randomized buyer selection process.
Users who are willing to participate in NFT Subscription Mechanism sales would subsequently need to follow a process that combines four phases, namely – preparation, subscription, calculation and distribution.
During the preparation phase, users would have to hold the minimum amount of tokens required for participation. Binance has noted that the minimum entry requirement is usually determined by the creators or the project that conducts the NFT sale.
In the subscription phase, qualified participants would then be given participation tickets that would have purchase limits per user set by the NFT creators. The number of tickets received by a particular user would be the maximum amount of NFTs that can be purchased.
However, users would have the option to decide whether to use all of those or only a few of the tickets. Having more tickets, however, does not entail that the user would get the NFT. But it would give one more chances to succeed in the purchase.
After the above stage, the process then moves forward to the next phase, known as the calculation phase. In this, a randomized selection system happens for choosing winning participation tickets from all those who have subscribed. The selected participants would be able to successfully purchase the NFTs. The final phase is called the distribution, where the final sale would proceed.
As the global NFT sales volume reach a milestone of $20 billion, analysts speculate that NFTs would someday soon even surpass the most popular and largest cryptocurrency, Bitcoin.