NFTs have shot to fame over the last few years. Today, every time a new NFT project is launched, investors clamour to get their hands on a piece of the collection. This often results in pandemonium and chaos around the project's launch and also leads to scams in some cases.
With this in mind, renowned NFT projects have introduced a new system to bring their collections to audiences. It is called the whitelist. Tag along as we explain what an NFT whitelist is and how to get a spot on these exclusive pre-sale lists.
What is an NFT whitelist?
A whitelist is a database of wallet addresses that receive early access to an NFT collection before its public launch. Those on the whitelist have the option of buying newly released NFTs before the rest of the market, and at much lower transaction fees.
The wallet addresses that make up the whitelist are usually carefully chosen users who have supported the project in its early days. These users interact, promote and discuss the NFT project on Discord and other social media channels. They create hype around the collection and help build up steam ahead of its release.
Why do we need NFT whitelists?
As mentioned earlier, with a standard NFT release, there is often a frenzy of investors trying to get their hands on a piece of the collection. This results in a gas war where investors try to out-bid each other by paying higher transaction fees to ensure their purchase goes through.
Not only does this lead to increased costs, but it also creates an unfair environment where those with deeper pockets walk away with the NFT, but those who have constantly been following and supporting the project are often left empty-handed.
Moreover, it could also create an atmosphere that is conducive to scammers. Bad actors can target desperate investors, claiming to have a piece from the collection and demand a slightly higher price. Unable to purchase the NFT through official channels, hopeless investors pay the higher amount, only to discover that they have been fleeced of their hard-earned money.
NFT whitelists ensure that new releases are made accessible to audiences in a democratic and fair method. They also ensure that the collection is dropped in an organised and smooth manner.
Further, since the project directly offers a whitelisted address the option to purchase the NFT, it ensures that there is no scope for scammers to dupe unsuspecting investors. And finally, whitelists also ensure that early supporters are rewarded for all they do during the initial days of the NFT project.
How to get onto an NFT whitelist?
Getting on to an NFT whitelist is easier said than done. After all, it is an exclusive group of individuals who have supported the project in several ways and have been selected by the collection's creators. However, this doesn't mean it is impossible to get into an NFT whitelist; it just takes a bit of work.
The first thing you need to do is identify NFT projects that could be creating whitelists in the near future. You'll also need to find out which one of these projects has any future potential. There are plenty of websites and platforms that will have a list of upcoming NFT projects and all their need-to-know details. Once you've gone through all the information, you can pinpoint which projects you want to put your efforts behind.
Then, you first want to follow the project on all social media channels, beginning with its Discord server. Besides providing you with all the updates regarding the project, the Discord server should also offer you an option to sign up for the whitelist. Usually, the whitelist details are given in the announcements section of the project's Discord server. If these details are missing, you can drop a query on the forum, and other users should steer you in the right direction.
Also, note that each whitelist can come with a different set of eligibility criteria. Some projects might ask you to refer 5 friends to the discord channel, follow their social media channels, like and share specific posts, etc.
However, even after doing all these things, getting a spot on the whitelist is not a guarantee, as plenty of others will go well beyond the basic criteria. These individuals will sign up early, regularly interact on the Discord server, participate in giveaways, and even create fan art.
Also, if a crypto exchange creates a whitelist, there may be different eligibility criteria. For instance, on Binance, the eligibility criteria require you to maintain a minimum daily average of BNB tokens in your account. They also need you to lock a certain amount of a specified cryptocurrency to be eligible.
Conclusion
Getting a spot on the whitelist of an NFT project might seem like a lot of work, but it is worth it. You could be offered first refusal and discounts on burgeoning NFT projects. This allows you to buy low and sell very high. Moreover, all the steps required to enter a whitelist shouldn't cost you a thing, but they can translate into significant returns, and that should be worth all the effort.
