Nifty Gateway Review 2023: Features, Fees and Security
Nifty Gateway Review: Our Opinion
Nifty Gateway is an exclusive NFT marketplace more suited for investors interested in shopping for limited art from top brands and artists. This is primarily because a lot of the brands in Nifty Gateway are only found on the platform which boosts the NFTs’ exclusivity and rarity. Nifty Gateway also allows users to buy NFTs directly using their credit or debit card. This limits the barrier of entry enabling users who don’t own crypto to participate in the NFT market.
An Overview of Nifty Gateway Review
Nifty Gateway is a digital NFT marketplace founded by Duncan and Griffen Cock Foster in 2018. However, it has since been purchased by the Winklevoss twins via their Gemini Exchange in November 2019. Nifty Gateway has hosted and sold non-fungible tokens by Pak, Beeple, Refik Anadol, and other popular NFT artists.
Using Nifty Gateway users can buy NFTs directly with fiat money using their debit or credit card making NFTs easily accessible to all types of users.
The NFT marketplace also gives gaming and decentralized app developers an intuitive and vast suite of tools that help make the process of selling items simpler. For games and decentralized apps using the platform, NFT cost is listed in the United States dollar. This is done to lower the barrier of entry for interested users as they won’t need to purchase cryptocurrency to buy an NFT.
Key Features of Nifty Gateway
Nifty Gateway is a custodial platform that stores NFTs in a secure wallet powered by Gemini. The omnibus wallet is a master holding account designed for transferring NFTs into Nifty Gateway and moving them within the platform.
Since Nifty Gateway is owned by Gemini, the Omnibus wallet is secured by Gemini. The NFTs stored in the wallet are stored using Gemini’s custody technology. Nifty Gateway also applies tiered, role-based access controls to its production environment. Administrative access must be done from Gemini-issued hardware devices and requires multi-factor authentication.
Despite being a custodial wallet, NFTs stored in the Ominus wallet fully belong to the owner. Nifty Gateway does not freeze or confiscate NFTs that are fully paid for. However, if there is evidence of illegal activity or dispute surrounding an NFT, Nifty Gateway will seize the individual NFT involved in the activity until the issue is resolved.
Other NFTs stored in the user’s wallet will not be held or frozen. The Omnibus wallet supports different payment methods, this includes debit card and credit card, prepaid ETH, and Gemini balance.
Also, since all the transactions are performed on-chain with the network’s custodial system, wallet owners do not have to sign off on complicated transactions or pay additional gas fees.
Due to the custodial nature of the Nifty Gateway Omnibus wallet, if a user loses access to his account, they can still regain access by contacting the Nifty Gateway’s team. Also, if a Nifty Gateway account owner dies, the funds in the account can be transferred to a legal beneficiary.
Verified Projects are projects that are not curated by Nifty Gateway’s team but have been verified to be created by the person or team that claimed to be the creator(s). For projects to be considered Verified on Nifty Gateway, they must meet the platform’s legal standards and also meet Nifty Gateway’s basic smart contract standards.
Verified projects enjoy instant on-platform transactions, and are charged no gas fees for on-platform transactions. They also have access to features like offers on global traits and no spam NFTs being airdropped into the collection. Verified projects also support different payment options like credit and debit cards. And verified creators have access to 2 support teams: The support team and the collector services.
This is a Nifty Gateway program run in collaboration with Stripe, the network’s payment processor. For users to sell NFTs from their existing collection on the secondary market, they are required to register as a seller.
To become an authorized seller, you can register on the Stripe page on your Nifty Gateway dashboard, which displays in the “Seller Settings” feature.
You need to have an active bank account or debit card which will be used for cash-out. You will also need to provide some personal information. The information provided is sent directly to Stripe, it is not stored or accessed by Nifty Gateway.
The authorized seller program is designed to verify sellers and reduce fraud, botting, and other fraudulent activities. It also enables Nifty Gateway to provide cash-out options in different jurisdictions. The program is currently available in over 100 counties including Japan, the USA, India, Turkey, Vietnam, Nigeria, Egypt, Indonesia, Cyprus, Sweden, Cambodia, Sri Lanka, etc.
Nifty Gateway Drops
Nifty Gateway has different ways that users can buy Nifties on the platform. Users can use different mechanics to participate in primary market sales of NFTs. Below are some of the methods.
- Packs: A pack is made up of a set of Nifties. Each pack contains a mix of unique Nifties. The number of Nifties in a pack varies. When users enter a pack drawing, their odds of winning unique Nifties vary.
- Open Editions: Nifties in the open edition are set at a fixed price and are only available for a set time frame once the drop period begins. The number of Nifties minted and distributed to collectors is determined by the number of editions purchased. Since popular collections often take time to mint, the delivery of the Open Edition Nifties is often not immediate.
- Auctions: Collectors have the opportunity to enter publicly visible bids and compete against each other for pieces displayed in auctions. During auctions, only one artwork is made available for 24 hours. At the end of the auction, the collector with the highest bid wins the auction and gets the digital artwork. If a new successful bid is made less than 5 minutes before the end of the auction, the auction timer will be reset to 5 minutes.
- Silent Auctions: With online silent auctions, collectors place blind bids for one of the editions. At the end of the auction, the top 100 bidders are each given one of the editions. Edition numbers are distributed in the order of the highest bidder.
- Ranked Auctions: This is similar to silent auctions, the only difference is that the collectors’ bids can be viewed by the public.
- First Come First Serve (FCFS): With FCFS, Nifties are listed at a fixed price with a set number of editions available. Once the drop time goes live, the edition pieces are made available on a first come first serve basis till they have all been purchased.
Drawings: This method creates a level playing field for all collectors. Drawings have a set number of editions and are available for a specific time frame. Collectors that meet the specified requirements can enter the drawing once it begins. Users are required to have a validated profile and payment method to enter. At the end of the entry period, winners are randomly selected and charged for the Nifty awarded to them. Only one entry is allowed per user. If a user’s payment cannot be processed at the selection time, a new winner will be selected.
Types of NFT You can Buy and Sell
Nifty Gateway prides itself on its collaborations with top NFT artists and brands as it is an exclusive platform focused on NFTs for top-tier buyers. On Nifty Gateway’s marketplace, you’ll find top artists and brands like Beeple, Refik Anadol, Daniel Arsham, Josie Bellini, and Pak.
Users will not be able to purchase NFTs that cost a couple of dollars on the platform. Nifty Gateway also doesn’t offer the usual types of NFTs like sports collectibles, video or music NFTs, domain names, Metaverse, gaming, etc., that you would expect from other NFT marketplaces.
That said, for what it does offer, Nifty divides its NFTs in a way that doesn’t separate them into the type of art. The NFT marketplace divides drops into verified and curated drops.
Verified: This means that Nifty Gateway has reviewed the artist and has verified that their identity is true and the item being offered satisfies the relevant criteria.
Curated: This means that the NFT selection was handpicked by the Nifty Gateway team.
Nifty Gateway only supports the Ethereum blockchain. Currently, there is no alternative blockchain supported by the platform.
Since Nifty Gateway is a custodial marketplace, users’ NFTs are stored on the platform. Nifty Gateway also offers a non-custodial option for NFT sales known as Wallet 2 Wallet (W2W). This feature enables users to buy and sell NFTs in ETH directly from their external crypto wallets. The top external wallet to use for this feature is the Metamask wallet.
How to Buy NFT on Nifty Gateway?
To buy NFTs on Nifty Gateway you need to create a Nifty Gateway account. But if you want to participate in NFT drops then you need to verify your Nifty Gateway account by linking your phone number to the platform. A Gemini account is not enough for NFT trading.
For the next step, you’ll need to connect your Ethereum wallet to the Nifty Gateway platform as the marketplace requires prepaid ETH. Alternatively, you can link your credit or debit card to purchase directly or use your Gemini balance.
After funding your account using any of the above methods you are ready to purchase NFTs on the platform.
Here are a couple of sales offers on Nifty:
Online Silent Auction: With this method, buyers can place random bids on an NFT. The highest 100 bidders at the end of the auction each get one edition.
Open Editions: This type of sale offer has a set period to purchase fixed-price Nifties. For instance, the artist will set the price at $600 and the timeframe to buy the art at 15 minutes. They’ll then mint as many NFTs as users purchased in the 15-minute window.
Auctions: With this same method buyers have a timeframe of typically 24 hours to bid for an NFT. The highest bid wins.
First Come First Serve: The creator sets the number of editions and price. And once the drop is on, sales happen on a first come first serve basis.
Nifty Gateway Fees
Following Nifty Gateway’s plan to transition to a new fee schedule due to the release of its wallet-to-wallet feature, the platform intends to cut down its listings fee from 5% to 2.5% in the new version.
However, Nifty Gateway does not have a clear fee structure that includes the charge for all activities which makes it quite complex to determine the exact cost of using the platform. Some users, for instance, have claimed to have to pay up to 15% in fees on the total cost of purchasing an NFT on the platform.
Concerning gas fees, Nifty Gateway avoids or covers gas fees in several situations and states that it offers 70% lower gas fees than other NFT marketplaces. The NFT marketplace claims it achieves this by cutting down the number of steps required to list an NFT as each step incurs network fees. So reducing the number of transactions required will decrease costs.
That said, here’s what may demand gas fees when using Nifty Gateway:
- Purchasing NFTs with Ethereum
- Depositing NFTs
- Withdrawing the Ethereum you’ve loaded to your Ethereum wallet on the platform
Nifty Gateway doesn’t charge gas fees for minting or purchasing NFTs with your credit or debit card.
Nifty Gateway Payment Methods
Nifty Gateway is about to change its current payment and fee system but will use both options simultaneously till it stops one.
Currently, Nifty Gateway accepts the following payment methods: Ethereum, debit card, and Gemini account balance. The great thing here is that you don’t have to own a digital asset to purchase NFT on the platform. You can do so directly with your credit card or debit card. Nifty Gateway also allows you to view NFT costs in US dollars.
Here’s how the various payment options function; For Ethereum, you just need to deposit ETH into the platform’s prepared ETH wallet. If you want to use the Gemini balance option, you can simply use your GUSD, DAI, or USD balance to pay for NFTs on the marketplace.
For the credit or debit card option, you need to let Nifty verify your card by allowing the platform to make 2 small deposits if you intend to earn from secondary sales in the secondary market. However, you don’t need to verify your card if you use the primary marketplace where you can find verified and curated art.
Concerning the new payment method system, Nifty Gateway intends to use only Ethereum. They have not stated if they intend to allow credit and debit card payments.
Nifty Gateway Security
Nifty Gateway is owned by Gemini, a New York Trust company that is subject to New York’s cybersecurity regulations and undergoes regular bank exams. Nifty Gateway enjoys the many security measures set in place by Gemini for its crypto exchange platform.
The hardware security modules used by Gemini have achieved a FIPS 140-2 Level 3 rating or higher. Administrative access to users’ data requires multi-factor authentication and must be from Gemini-approved hardware devices.
To protect their digital assets, Nifty Gateway recommends that all users activate two-factor authentication on their accounts.
Nifty Gateway’s support team can be contacted via email at firstname.lastname@example.org or by submitting a request through the help center. You can also write to them at Nifty Gateway, LLC, 315 Park Avenue South, 16th Floor, New York, New York 10010.
There is also a help center with detailed guides and information on how to use the platform and answers to frequently asked questions about the NFT market and trading in the Nifty Gateway marketplace.
Nifty Gateway is an exclusive NFT platform built for exclusive sales and high-end NFT offers. It also breaks the barrier of entry into the NFT space by allowing direct credit or debit card payments without a cryptocurrency intermediary.
That said, the NFT marketplace isn’t beginner friendly as their help articles aren’t clear enough for complete newbies and only NFT experts may understand certain concepts on the site.
Our extensive analysis of the NFT Marketplaces doesn’t stop here. You can also read about our Binance NFT Review as an alternative to Nifty Gateway or you can check out our list of Top NFT Marketplaces.
Most frequent questions and answers
Nifty Gateway is a legitimate platform that offers exclusive NFTs. However, there have been security incidents in the past where users’ credit card details and data were stolen.
Just like most NFT marketplaces, Nifty Gateway has also been the target of hackers. The platform was hacked in March 2021 and users’ NFTs were stolen. Nifty Gateway claims that users who were affected by the hack did not set up two-factor authentication on their accounts.
OpenSea offers a wider range of NFTs and does not have the several limitations that Nifty Gateway possesses such as verification before minting, user verification, etc.
Nifty Gateway is an NFT platform built for exclusive NFT offers from high-end artists and creators. Users can mint, buy and sell their digital assets in the marketplace.
Yes, Nifty Gateway is a centralized NFT marketplace.
Yes, the app is available for download on the Google Play Store and Apple store.
Nifty Gateway supports more than 400 artists.
We always try to provide the most accurate information available, and make sure our team follow through.
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