Don't Make These Mistakes When Launching an NFT

NFTs have exploded in popularity recently, with numerous projects launching to take advantage of this new technology. It is especially true since some founders made a lot of money fast while selling standard 10K collections.

Despite a significant drop in volume, many founders venture into NFT projects, especially now that technology to generate art is more mainstream and has lowered the barrier to entry. However, the launch of an NFT project is not without its challenges, and founders need to be mindful of several potential pitfalls that I have seen too often.

In this blog post, I will explore some common mistakes that founders of NFT projects should avoid to increase their chances of success. My goal here is to share the mistakes I have seen, so founders can learn and increase their chances of success for their NFT projects.

1 - Not having a clear value proposition

One common mistake that I have seen among NFT projects is failing to define a clear and compelling value proposition. For NFTs to be successful, they need to offer something unique or valuable to users. It can be a unique art form, a problem solved by using the NFT, or a combination of both...

The value proposition can extend to other aspects such as access to exclusive content or experiences, the ability to prove ownership of a physical asset such as real estate, and in-game assets being traded in video games.

There are plenty of ways to define your unique value proposition by leveraging your branding and how your NFT is used.

Having said that, if your NFT mainly offers art as its value, it is still a valuable aspect that you can put forward. Some buyers enjoy having a one-of-a-kind digital collectible or piece of art to create a connection with the artist or founding team.

But overall, without a clear value proposition, it may be difficult for potential users to see the value in your NFTs. Ultimately this would lead to low interest and ultimately failure of your project.

My advice: in a world full of copies, avoid competition by being unique and defining what makes you different. The market will reward authenticity more than just being another collection with no differentiating factor.

So try to define and communicate this convincingly.

2 - Not building a strong community

Not nurturing and creating a strong tight-knit community is a recipe for failure!

One of the ethos of WEB3 is to give power back to the people, and communities are a vital part of this ecosystem.

As an NFT founder, your community can be your biggest asset. Not only can they provide valuable feedback and help you deliver better products, but they can become your raving fans and help promote the project, and drive adoption further.

This is why it's so important to listen to your community.

To build a strong community, you should engage with them on social media, provide regular updates and communication, and offer opportunities for community members to get involved in the project.

If you don't get a strong community around your NFT project, it will be difficult for your project to thrive. Therefore, it is vital to consider community building as a priority and to actively work to foster a sense of connection and engagement with their users.

My advice: consider that your community is part of the creative process, almost like a full-time team member, rather than just a variable in an abstract equation.

3 - Not having a long-term vision for your NFT project

Another common mistake I have seen is founders not having a long-term vision for their projects. The time when undoxxed people could come up with a standard NFT collection, make a quick buck, and disappear is gone. And rightly so!

Would we expect a company like Apple to create an iPhone and stop updating its product, software, and branding? No, so why would NFT projects do differently and still hope to drive value?

Of course, when you start, it is natural to be focused on the immediate goals of launching and promoting the project. However, it is crucial to think about the long-term sustainability and growth of the project.

To reach this goal, founders should create a strong and engaged community, develop a roadmap laying the foundations for the future of the project, and keep in mind that an NFT project is a business.

It needs to evolve, adapt, and change over time depending on the environment. NFT buyers are more knowledgeable and more sceptical of random projects, so if you do not have a long-term vision, it can be difficult for your NFT project to thrive and achieve lasting success.

My advice: founders should think beyond the initial launch of their project and consider how they can create a project that will continue to be relevant and valuable to users in the long run.

4 - Not paying enough attention to security

The Crypto space has been plagued with many scams, which have been detrimental to the industry! Unfortunately, NFT projects are no exception and are vulnerable to hacking and other types of fraud.

Hackers can use various forms of scams such as rug pulls, phishing attacks, social media personation, and giveaway scams... When it comes to NFT, hackers exhibit a high level of creativity.

This means that, as a founder, security should be one of your obsessions. Not only can these scams damage the reputation of your project and lead to a loss of user trust, but they can also have serious financial consequences.

This is why NFT founders must take all the necessary measures to secure their platform and protect their users. Besides, it is your responsibility to ensure that the smart contracts you use are fully audited and secure.

A few available options could include the following: implementing strong password policies, using multi-factor authentication, regularly updating security protocols, communicating with your community when a scammer has been identified, and monitoring discord accounts...

My advice: pay close attention to security, as this is a necessary step to ensure the long-term success and stability of your project.

5 - Not structuring the team correctly

I still see many people who act with NFT like beginners without thinking about how to organise the team working on their project. As I mentioned earlier, launching an NFT collection is like starting a business and beyond having a vision, this requires establishing clear roles and responsibilities for team members.

If you skip this step, you take the risk of delaying the delivery of the project, especially if the teams work remotely from different countries. Even if working from home is a new norm, you still need a solid foundation to make sure your NFT project runs smoothly and achieves its goals.

This is why you need to take the time to properly structure your project to set it up for long-term success and achieve significant milestones.

My advice: define clear team roles and responsibilities, and leverage tools to guarantee seamless workflow and communication

Conclusion

In conclusion, one key element to remember is that launching an NFT collection is like starting a business. It can be a daunting task, but by avoiding these 5 common mistakes, you can increase the chances of success of your NFT project.

Of course, you can always use this article as a reminder of the errors to avoid. It is already an effective way to lay the foundations of your NFT collection. Anyway, by keeping these mistakes in mind and taking the necessary steps to avoid them, you can launch your NFT collection more confidently.

I hope you found this article helpful and enjoyed reading it! If you're interested in learning more or need guidance for your project, please don't hesitate to reach out. I'd be happy to share my expertise and assist you in any way I can!