Rarible is an NFT platform that enables digital artists and creators to create and sell custom crypto assets that represent ownership of their digital work.
It’s worth noting that Rarible is both a marketplace for those assets and a distributed network built on Ethereum that allows them to be traded without the use of a middleman.
Non-fungible tokens are the tokens that creators generate on Rarible (NFTs). Each NFT is distinct, and unlike bitcoins (or other forms of money), they cannot be exchanged. This is known as fungibility, which is why tokens on Rarible are referred to as non-fungible.
CryptoKitties, a game in which virtual cats could be bought and sold, was the first and most well-known example of an NFT. These NFTs could even “breed” with one another to create new cats with different NFT attributes.
However, Rarible demonstrates that NFTs have progressed beyond virtual cats. NFTs found on Rarible’s marketplace include digital artworks, memes, and even virtual land parcels.
RARI, Rarible’s cryptocurrency, is at the heart of the platform. Users who own RARI tokens can vote on platform proposals, moderate creators, and curate featured artwork.
How does Rarible work?
Rarible is a marketplace that connects sellers (typically content creators such as digital artists, model creators, or meme makers) with buyers who can choose which pieces to buy.
Creators must first mint a token using Rarible’s software in order to convert their work into an NFT. To do so, they fill out a form on the website and attach their image as well as other data that represents their work, such as a listing price.
After that, the Rarible platform generates a new token on the Ethereum blockchain. The NFT, like other Ethereum tokens, can be transferred between wallets using Rarible’s software.
Rarible uses the Ethereum blockchain to embed the full history of an NFT’s owners and transactions within its code. It is worth noting that when a transaction is completed, both the buyer and seller must pay transaction (gas) fees to the Rarible network.
The ability to program royalties, or the rights to future cash flows, within NFTs is an intriguing feature. This means that Rarible creators can set a percentage of future sales and automatically collect them by issuing a token.
This is a key feature that attracts creators to NFTs, because, unlike traditional content platforms, NFTs can be designed to pay out royalties immediately.
For example, if a piece of digital art has a 10% royalty, the creator will receive 10% of any subsequent sales of that art.
Who built Rarible?
Rarible was founded by Alex Salnikov and Alexei Falin. Salnikov has been working in the cryptocurrency industry since 2013, and Falin previously co-founded a marketplace for digital stickers that can be used on chat platforms.
Rarible’s price has risen by 0.94 percent in the last 7 days. The current price per RARI is $7.54. Rarible is 88.13 percent off from it’s all-time high of $63.53.
Rarible is mentioned frequently in social media posts on Twitter and Reddit and is ranked #8 in terms of most mentions and activity from collected posts.
While this is no guarantee of success, social media plays an important role in gauging overall interest in a project and investors and collectors tend to gravitate towards platforms with a strong community. That being said, an 88% price drop is something to keep in mind.
As always, exercise caution when investing in NFTs. It’s unknown whether NFTs will hold their value long-term. Don’t risk more money than you can afford to lose on an NFT because it may not return a profit. However, if the idea of owning digital art appeals to you, you may find Rarible has much to offer.
Jay Speakman is a technology writer based in San Francisco, California. He writes on the topics of blockchain, cryptocurrency, DeFi and other disruptive technologies. Clients include Avalanche, Be[in]Crypto, Trust Machines and several blogs devoted to blockchain gaming. He will not rest until fiat currency is defeated.