Shopify and NFTs
Non-fungible tokens (NFTs) are digital representations of goods which publicly show their ownership, history, and scarcity.
The "token" part of "Non-fungible token" refers to this digital representation and that the NFT is only a reference to the original. "Non-fungible" refers to the token's property of being unique and unable to be swapped for another token. For example, a 1 USD coin is fungible because you could replace that coin with another coin with no issues. But each NFT is unique, and you cannot simply swap them out for a different NFT, even if they are both a representation of the same good.
NFTs are a new technology, and their full impact and implications are still being explored. Currently, NFTs are most popularly being used to prove ownership over digital copies of media, such as digital artwork, but they have many other uses.
Creating an NFT is called “minting”. When an NFT is minted, it's given ownership and recorded on a digital ledger called a blockchain. The most common blockchains for minting NFTs are Ethereum, Polygon, Near, and Flow. You manage any NFTs that you mint or own through a crypto wallet.
Crypto wallets are digital accounts that help process transactions of cryptocurrencies, such as Bitcoin or Ether. You must own a crypto wallet to mint or purchase an NFT. The ownership history of an NFT is easily traceable and verifiable by the public.
Selling NFTs online
In general, you can sell NFTs through either an NFT marketplace or your own branded website. How your business sells NFTs depends on how much control you want over your branding and checkout experience.
NFT marketplaces offer ways to mint and sell NFTs, and they're relatively cheap to use. However, there are very few ways to have your business stand out against competitors within the marketplace, and you have almost no control over your branding, analytics, or customer management.
Some common marketplaces where you can mint and sell NFTs are the following:
|OpenSea||Ethereum and Polygon|
Selling NFTs through a custom branded website with a checkout can add costs due to complexity and regulations, but you maintain control over your brand, checkout experience, and data and analytics.
Further, not all payment providers support the sale of NFTs. Most payment providers that do support NFT sales accept only cryptocurrency as the payment method.
If your store is on the Shopify Plus plan, then you can apply for one of Shopify's NFT beta programs to sell NFTs without needing to manage all the complexities and regulations on your own.
Selling NFTs on the Shopify Plus plan
If your store is based in the United States and is on the Shopify Plus plan, then you can apply to join Shopify's NFT Beta Program, which lets customers purchase NFTs from your store using credit cards and cryptocurrency. You can accept credit card payments through Shopify Payments and connect with a cryptocurrency payment processor to accept cryptocurrencies.
If your store in on the Shopify Plus plan in another country, then you can apply to the NFT Program, but you'll need to connect your own payment provider.
To sign up for the beta, fill out and submit the NFT beta request form.
To learn more about NFTs, refer to Shopify's NFT community post.