Pros
Cons
Binance launched a crypto exchange in 2017, originally focusing on trading Bitcoin. It evolved to list over 500 different cryptocurrencies, and in 2021, launched its very own mixed NFT marketplace: Binance NFT.
It’s free to sign up and use, has a low mint fee, and low marketplace fees for trading NFTs. However, creators may not earn that much in secondary sales — Binance NFT only offers a 1% royalty fee. The platform may be great for collectors, but for creators looking to earn off their creations, not so much.
Launched in June 2021, the Binance NFT Marketplace is a platform where users can create, buy and sell NFTs.
Though fairly new to the NFT sector, the marketplace can leverage the entire Binance ecosystem. The new platform utilizes both the Binance Smart Chain (BSC), which is native to the Binance ecosystem, and users can access Ethereum assets. Users are able to transfer NFTs between the two blockchains, with more blockchain support planned in the future.
Binance NFT is a mixed marketplace, featuring multiple NFT categories including gaming, sports, entertainment, art and even Mystery Boxes where you can collect surprise NFTs with varying rarities.
You can also select the Coming Soon button while accessing the marketplace to see NFTs associated with upcoming applications — for example, VIP passes for early access in upcoming blockchain games.
The marketplace is backed by the much larger Binance cryptocurrency exchange. Regulation surrounding the Binance exchange is unknown, since the company moved out of China after the country increased its cryptocurrency regulations. However, the company appears to do its best to comply with specific regulations based on the country.
For US residents, the Binance exchange is based out of California. However, the NFT marketplace isn’t available to US residents at the time of writing.
The marketplace is on the BSC blockchain. Use your Binance account to utilize the exchange and marketplace — very convenient.
You don’t have to verify a Binance account to interact with the Binance ecosystem, but to buy and sell NFTs and use the exchange, it’s a requirement.
Verifying your account requires selfies, submitting personal information and valid government identification such as an up-to-date driver’s license. Verification levels vary depending on your home country.
The Binance ecosystem is built on the BSC blockchain. It was originally built on Ethereum, but later transitioned to BSC, and BNB is the native currency.
Buy NFTs using BNB, BUSD or ETH, and BNB is required for gas fees.
There’s no need to connect a third-party wallet to make purchases on Binance NFT marketplace — your verified Binance account and crypto is all you need. You’ll need a crypto wallet to store or move digital assets in or out of Binance NFT.
To buy NFTs on Binance NFT, follow these steps:
Purchased NFTs are sent to your Binance account, accessible from your User Center. In terms of fees, there’s a flat 1% fee for trading NFTs, and gas fees on Binance NFT marketplace are paid with BNB.
Binance NFT offers seven categories of NFTs, plus a mystery box:
Token standards on Binance NFT are BEP-721 and BEP-1155.
To sell an NFT on Binance NFT, follow these three steps:
At the time of writing, Binance only allows preapproved users to mint. Binance plans to expand this feature to all registered users in the future. Here’s how to mint an NFT:
Once the file is minted, you’ll find the new NFT in your account under NFT Asset. You can also track your sales history, bidding orders and purchase history in your account. All NFTs minted on Binance NFT are on the BSC blockchain, and the minting fee is 0.000001 BNB.
| Marketplace fee | 1% |
| Royalty percentage | 1% |
| Minting fee | 0.000001 BNB |
| Gas fees | Paid in BNB |
Binance NFT doesn’t have a page on upcoming NFT drops. However, on the Binance exchange, there’s information on crypto airdrops.
To stay up to date with crypto airdrops, you can follow Binance on various social media outlets such as Facebook, Instagram, Telegram, Twitter and YouTube.
Binance also features Binance Newsroom where you can access its blog, announcements and media assets.
Use the Binance app to browse, buy and sell NFTs. With the Binance app open, simply select Binance NFT to interact with the marketplace.
The app is available to Apple and Android devices, and it’s free to download.
The Mystery Box NFTs are a cool buying option offered on Binance NFT. We haven’t seen another mainstream marketplace offer this product. Blockchain games often feature loot boxes or loot crates, but with these boxes, you usually know what you’re getting.
The NFTs you can get in a Mystery Box are sorted into rarity levels: super super rare (SSR), super rare (SR), rare (R) and normal (N)
Binance as a whole is a well-known ecosystem. It’s considered one of the top crypto exchanges, with well over 28 million registered users worldwide, according to an estimate done in October 2021.
Security is a number one priority for the Binance exchange, with the same security measures also implemented for the marketplace. All account access requires two-factor authentication (2FA). While security is always a major concern, Binance has experienced pretty major hacks.
In 2019, the Binance exchange went through a major large-scale security breach, resulting in over $40 million worth of Bitcoin stolen, reported by CNBC.
More recently in April 2022, Binance had to freeze $5.8 million in funds — across 86 accounts — that were stolen from Ronin Network by a hacker group known as Lazarus, reported by The Record. The funds were recovered, though.
Security breaches and theft aren’t rare in the world of crypto and NFT trading. However, it’s worth noting that there are other major crypto exchanges and NFT marketplaces that have never experienced a hack, such as Gemini and FTX (as far as we know, anyway).
Often, security breaches on these platforms are a result of consumers not setting up 2FA or becoming victims of phishing scams. No matter what NFT marketplace or exchange you choose to use, keep your account and wallet seed phrases safe.
The Binance NFT marketplace is a relative latecomer to the rising NFT sector. It faces stiff competition from NFT marketplaces that have been in existence for much longer.
OpenSea has been around since 2017, and as a result, is the biggest and most popular NFT marketplace to date. Other major competitors include Nifty Gateway, Rarible and Mintable — all of these competitors advertise higher royalty percentages as well.
For creators, we don’t recommend Binance NFT if you’re looking to earn from your NFT resales. However, the marketplace is easy to use, signup is simple and there’s a free mobile app. For new NFT collectors, this could be a good starting point.
Users can buy and sell NFTs on Binance NFT. The platform also allows pre-approved artists to mint their own NFTs, but this is not currently available to ordinary users. Users can trade for fixed prices on the marketplace, participate in auctions, or buy mystery boxes. Premium auctions include five masterpieces from the Hermitage museum or a selection of unique moments from Associated Press.
The Binance NFT platform supports two different blockchains: Binance Smart Chain (BSC) and Ethereum (ETH). Ethereum is the most popular NFT blockchain, but high gas fees mean alternatives — like the Binance Smart Chain — are gaining traction. Users can deposit or withdraw NFTs from either crypto network. Right now, NFT minting is only available on the Binance Smart Chain.
NFT buyers will need to consider where to store their NFTs safely, which is where wallets come in. Binance supports the following non-custodial wallets:
Many investors opt to leave their digital assets on the platform where they bought them in what’s called a custodial wallet. Binance says its custodial wallet is highly secured and insured by its Secure Asset Fund for Users (SAFU), a kind of insurance fund the platform has built up.
Even so, many NFT collectors prefer to move their purchases to a crypto wallet they can control. MetaMask is one of the top NFT wallets and is probably the best known. But it’s not the only one out there. Binance also works with WalletConnect and its own Binance Chain Wallet.
To buy or sell NFTs, users will need Binance Coin (BNB), Binance USD (BUSD), or Ethereum (ETH). One big advantage to using the Binance NFT marketplace is that it’s connected to the Binance cryptocurrency exchange. Users still can’t buy NFTs directly with cash, but it is easy to deposit fiat money and convert it to crypto.
Every NFT marketplace charges several different fees when you buy, sell, or create an NFT. Some of these are platform specific, others are the gas fees — the cost of making a transaction on a specific blockchain. Gas fees vary depending on what platform you use. Ethereum is the most common, but also the most expensive. Fees on Binance Smart Chain are a fraction of the cost on Ethereum.
Here’s a summary of the fees on Binance NFT marketplace:
| TRANSACTION | FEE |
|---|---|
| Trading fee | 1% |
| Deposit / withdrawal fee | Gas fee depends on blockchain |
| Listing fee | Free |
| Royalty fee | Sellers pay 1% to the creator |
| Minting fee (Binance Smart Chain) | 0.000001 BNB |
There’s a broad range of NFTs available on the Binance NFT marketplace. Categories include premium, art, sports, gaming, entertainment, collectibles, and NFT for Good. Binance’s NFT for Good collection is designed to raise money for charity.
Binance said at the start of 2022, it had already onboarded over 1,000 artists and listed over 2.5 million NFTs. Users can filter by category, file type, sale type, and currency. The price is shown in your native currency, so there’s no need to keep converting BNB or ETH into dollars or euros.
Binance has a particular focus on gaming NFTs, and calls itself the largest gaming NFT platform. It provides an IGO for new gaming projects in which people can get in early and buy land or in-game items. The Binance NFT marketplace also sells mystery boxes, which could contain anything from a common NFT to a super rare NFT. These are very much a gamble, as the mystery box sells for a fixed price and the buyer won’t know what’s inside until it is opened.
Security is an important consideration for many NFT traders, especially given there’s already been a number of high-profile platform hacks. It is a shame the Binance marketplace doesn’t have a specific security page outlining the measures it takes to protect users. As we mentioned above, there’s insurance for assets stored on the platform in the form of its SAFU fund on the main Binance platform.
Binance also has several user-level protections. The Binance platform has two-factor authentication and anti-phishing protections. It encourages users to set account limits, minimizing the risk of malware or other fraudulent activity. Additional facial verification may be required for NFT withdrawals, which adds an extra safeguard.
Fraud is a big issue in the NFT world, particularly minting NFTs without the consent of the original creator. We messaged Binance to ask about any specific measures in this area. It said it has its own rules to check whether content is authentic, but it was unable to reveal details to users. It also has a dedicated team ready to deal with any fraudulent activity.