Hi guys ! I’m running a web3 marketing agency working with brands and sports people in the UK & I’m curious to know, is it better to mint an NFT collection on ETH or USDC ?
USDC is more stable than ETH; but ETH offers the opportunity for rise in value due its volatile nature.
However minting it on USDC means that if the floor price / trade volume of the NFT’s change , holders maintain their value but it’s not the same with ETH.
I.e Bob buys an NFT for $600 USDC, 3 months later that NFT goes for $1,200 USDC, that’s a 100% increase in value.
If Bob buys an NFT for 0.5ETH at 1ETH=$3,000 ( $1,500 ) , 3 months later that NFT now goes for 2.5 ETH but 1ETH = $800 , the value only rises to $2,000
This example is unlikely to happen but is possible given the volatile nature of ETH & similar crypto that aren’t stable coins . Let me know what you think guys 🙂
No matter what you use to mint the NFTs, they will be available to be traded in the open market and will mostly be traded in Eth values.
If you’re selling in usdc buyers will have extra work to trade eth to usdc before buying and will also have the extra step of approving the tokens first before confirming the purchase.
Overall with the reasoning provided it doesn’t make sense to use USDC unless you’re dealing with an audience with a mid level understanding of crypto upfront, you expect the mint to be over a prolonged period of time, and it’s tied to a physical item which has a dollar value that needs to be covered in the sale.
USDC means that you’ll back your NFTs in USD, a fiat currency that is losing value on a daily basis. I’m tracking the floor prices of 18k+ collections with xFloor (an oracle from Dia) for research purposes, and I haven’t seen many collections minted on USDC. Ethereum is the main battlefield for NFTs, you can’t go wrong with it.
Have you considered going with another coin like APT? The network is faster and gas fees are quite a bit lower than ETH, which would be a plus for buyers. Just a thought.