Learn How To Calculate Your NFT profits!
It can be difficult and time consuming to calculate your NFT profits as multiple factors need to be taken into account.
NFT calculators make this process easy!
What Are NFT Calculators?
An NFT profit calculator helps investors ascertain how much profit they would make or lose if they sold an NFT.
Calculators help investors set the correct (profitable) price (taking into account all the necessary fees) before listing their NFT for sale.
How Do NFT Profit Calculators Work?
A calculator uses four key components to calculate a potential gain or loss on an NFT.
- Marketplace fee
- Gas fee
- Listing fee
If an NFT is being minted by a creator, they would need to add the minting fee into their calculations.
The creator would not need to add the royalty fee as they receive that fee back.
These calculators are useful for investors and NFT creators. NFT creators need to include all costs into the price of their NFT to ensure they make a profit.
Royalty fees are charged each time an NFT is sold.
These fees are automatically charged (depending on the marketplace) and sent to the NFT creator.
It is important to calculate this cost in, as it can affect an investors profit margin, especially as royalty fees typically range from 5-10 percent of the NFT sold.
If an NFT has a 10% royalty fee and is sold for $10,000, there would be $1,000 owed in royalty fees!
The Marketplace Fee
NFT marketplace charges a fee on each NFT sold. This helps the marketplace with its operating costs. This fee varies per marketplace and needs to be calculated into the price when selling for a profit.
The Gas Fee
The gas fee charged when purchasing an NFT will vary depending upon which blockchain you use. If the network is congested, this fee may increase. It is important to calculate this gas fee before purchasing or selling an NFT.
Some platforms charge a first-time seller listing fee. If this applies to you, it is necessary to include this in your overall costs.
This applies to NFT creators. If the marketplace you decide to mint on charges a small minting fee, creators need to calculate this into their sale (listing) price.
How To Use An NFT Profit Calculator?
Here is the most popular NFT marketplace (OpenSea) profit calculator:
Simply add the costs to each section, and you will have calculated your breakeven cost. Once you know this, you can set the price of an NFT for sale above the breakeven cost.
Where Can I Find A List Of NFT Profit Calculators?
We have created a list of NFT profit calculators to help you calculate your profit and loss.
Visit our NFT resource directory and view all the calculators available to you.
You can also visit our NFT resource directory to find useful links to help you invest in NFT more effectively.
Visit us today at spendingcrypto.com
(NFT marketplace and educational Web3 academy)
We also offer NFT consulting for individuals and NFT projects. Contact us.
All information in this article is for educational purposes only.