Binance NFT Marketplace Review: Low-Fee NFT Trading, Especially for Gamers

The Binance NFT marketplace is a low-fee platform where users can buy and sell a range of NFT items. It has a special focus on gaming NFTs but also trades various collectibles, art, sports, and other items. Binance NFT is not available to U.S. customers, as it can only be accessed through the main Binance cryptocurrency platform. Read our full Binance NFT marketplace review to find out if it's the right option for you.

This NFT marketplace is a good fit for: Non-U.S. NFT investors, particularly gamers, who want low fees and a wide range of items.

Binance is one of the world's biggest cryptocurrency exchanges. Its low-fee, user-focused experience has made it a popular option for crypto traders, and it's taken the same approach with its NFT platform. People can buy and sell a range of NFTs, such as art, gaming, sports, entertainment, and collectibles on the Binance NFT marketplace.

It's worth noting the Binance NFT platform is only available to Binance account holders, which excludes U.S. residents. For regulatory reasons, Binance has a U.S. specific site called Binance.US which does not currently trade NFTs.

Top perks

NFTs, or non-fungible tokens, have become increasingly popular in the past year. There's been corresponding growth in NFT marketplaces. Each platform has its own advantages and disadvantages and will appeal to different types of NFT investors.

Low fees

Binance NFT marketplace charges a set 1% fee on every transaction, which is lower than several major NFT marketplaces. Users will still need to pay gas fees, which can add up, especially on the Ethereum blockchain. However, users can reduce these fees by opting to use the Binance Smart Chain instead. First-time buyers looking for a low-cost NFT will find items for as low as $1, though many of the cheaper NFTs are in-game items.

READ MORE: Best NFT Marketplaces

Big-name collaborations

One of the benefits of being a major existing crypto brand is that Binance is able to attract big-name projects. Last year, it launched premium auctions with the Hermitage museum and the Associated Press. The Associated Press collection featured extraordinary news moments from the past 100 years, including the fall of the Berlin Wall and the first person in space. Binance also partnered with major fashion brands such as Vogue Singapore, Balmain Paris, and Jimmy Choo, as well as well-known musicians and actors.

Gaming NFTs

Binance wants to make itself into the one-stop shop for NFT gaming. It has a launchpad for new games called an Initial Game Offering (IGO), as well as support for existing gaming NFT projects. New games can carry out land sales or content drops of exclusive assets such as weapons, early-access passes, and other items.

Blockchain gaming is an exciting new sector and many new projects are keen to capitalize on the success of games like Axie Infinity (AXS). However, with such a vast array of projects to choose from, NFT investors need to tread carefully. We don't yet know which projects will succeed -- making their in-game NFTs valuable -- and which will fail -- making their in-game NFTs worthless.

Easy to use

The big advantage of being connected to a major cryptocurrency exchange is that beginner NFT buyers don't need to worry about getting the right cryptocurrency and moving it into a third-party crypto wallet. Everything works as part of the Binance platform, including depositing fiat (traditional) money and converting it to crypto. Binance also has a good range of NFT educational resources, including webinars on how to get started.

What could be improved

Not available in the U.S.

Binance NFT marketplace is only available to Binance customers. Unfortunately, U.S. residents can only use its dedicated Binance.US platform, which does not offer an NFT marketplace. Until it does, U.S. NFT traders will have to look elsewhere.

Lack of transparency on anti-fraud measures

The Binance platform has several user protections in place, including keeping assets in cold storage and a system to audit cryptocurrency projects listed on the exchange. However, it does not have a dedicated page that explains how it protects NFT customers against crypto fraud. There are resources to help users protect themselves and Binance does have a dedicated anti-fraud team. But, given that NFT fraud is a huge issue, it would be reassuring to know a little more about how it vets the artists it allows to mint NFTs on the platform.

Binance's regulatory challenges

Binance had a number of issues with different regulatory authorities around the world last year. These include the Cayman Islands, Japan, Malaysia, Malta, the Netherlands, Thailand, the U.K., and several others. At one point, Binance users in the U.K. could not deposit or withdraw fiat money. Binance has taken steps to improve its relationships with authorities, including increasing its compliance team by 500% in 2021. Nonetheless, users should be aware that as crypto regulation increases, there's a chance Binance will face additional regulatory challenges.

If you want an NFT platform that's available to U.S. residents. OpenSea is the largest NFT platform out there, and is based in the U.S. It also has a gas-free marketplace, meaning users can mint NFTs without facing steep blockchain transaction fees.

Binance NFT marketplace is an accessible platform with all the features you'd expect from one of the world's most popular cryptocurrency exchanges. Binance users can buy and sell NFTs via the app or web browser, and the trading fees are lower than many of its competitors. It has a broad range of NFTs, with a particular focus on gaming items. While users can't buy NFTs directly with U.S. dollars or euros, it is relatively easy to deposit fiat money onto the main platform and convert it into cryptocurrency.

READ MORE: Top Cryptocurrency Apps

Services

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.

Blockchains

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.

Supported wallets

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:

• WalletConnect
• MetaMask
• Binance Chain Wallet

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.

Payment methods

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.

READ MORE: Best Places to Buy Ethereum

Fees

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:

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.

• You're a new NFT investor who wants a low-fee and accessible platform
• You want to participate in premium auctions or buy mystery boxes
• You're an existing Binance customer who wants to branch out into NFTs
• You're not based in the U.S.