How to create an NFT: A Step-by-Step Guide

How to create an NFT: A Step-by-Step Guide

Welcome to our tutorial on creating the smart contract to mint an NFT in the 0x protocol, including how to write your first smart contract on Mist and how to start deploying your smart contract on Ethereum. 

We’re covering this tutorial for the Ethereum community to create the first non-fungible tokens on the blockchain since there is already a plethora of fungible tokens created in 0x, the best-known of which is probably the Ethereum Classic and ERC20 standard.

What is an NFT?

Non-fungible tokens represent something that is unique or individual, meaning you can’t sell them in bulk and get a fixed price. 

These tokens also have the potential to grow in value over time, like any other asset. 

They were once an early experiment in the blockchain space by Sense4Fit. 

What’s interesting about them is that you can’t create them in Ethereum — you have to create a custom token model and make it available on the Ethereum blockchain through a smart contract.

Why should I bother making my own NFT on Ethereum when there are already other token models available on 0x?

The obvious answer is that you get to decide how you want your token to behave. 

If you have a large set of NFTs and want to allow the users to create their own tokens, then the ERC-223 standard is the way to go. 

It is the most popular set of rules used to create non-fungible tokens. 

On the other hand, if you just want to let users create a token that can have a particular amount of tokens, then the ERC-1155 standard is much simpler to implement. 

For smaller-scale token creation, the 0x token standard can do the job.

What you need to know:

The ERC-223 standard is only available on the Ethereum network and the standard is very detailed. 

To run any ERC-223 contract, you’ll need to have an Ethereum Virtual Machine (EVM) which is a highly optimized version of the Ethereum blockchain engine. 

On Mist, you need to download the Geth node, and on Mist for Mac, you need to download Ethereum Virtual Machine for Mac.

The ERC-1155 standard is made to be super simple to create. 

You only need to create the token and name it to be the reference to a value, an amount, and optional metadata. 

You’re not required to write any smart contract code.

The 0x token standard can be used for tokens that have an intrinsic value and whose value will increase over time. 

It is most suitable for tokens that are backed by something like Ethereum.

What are the core functions that I’ll be creating on the Ethereum blockchain?

In order to make your tokens mintable on the blockchain, we’re going to make an abstract contract which is the standard contract that will accept Ethereum addresses and will be able to issue new tokens. 

On Ethereum, all assets can be issued on a blockchain. 

On Mist, you don’t need to write any code. 

This is what we’re going to cover.

Let’s now create our first smart contract on Mist. 

Please be aware that the process is much more simple on Ethereum than on Mist.

How to create an ERC-223 Standard Token

Step 1: Go to Mist and click on the New Wallet button.

Step 2: Once you click the New Wallet button, Mist will show you the details about your Ether balance, your Ethereum address, how much Ether you’ve managed to purchase, the gas price you need to buy your Ether, and your gas limit.

Step 3: Choose the Create a New Wallet button at the top right corner of the screen.

Step 4: You’ll now see the  Create Wallet screen. 

Once you click the Create Wallet button, you’ll get the screen that shows you your Ethereum address which you can use to send Ether to your wallet.

Step 5: Now, we’ll give our smart contract an Ethereum address. 

Select your Ethereum address from the drop-down.

Step 6: Once you choose your Ethereum address, it will be highlighted on the screen. 

Please note that you can type in the Ethereum address, even though Mist is not strictly using the Ethereum protocol for sending Ether.

Step 7: You’ll now get the Address Management screen which will ask you to enter your Ethereum address. 

Click the OK button.

Step 8: You’ll get the Wallet Details screen which will show your Ethereum address and wallet name. 

If you don’t have any Ether in your wallet, you’ll be shown an empty account and you’ll need to fill in all the details.