With AI text-to-image generators now rolling out for public use, a flood of people will inevitably begin creating NFTs from this easy-to-use artistic medium to try to cash-grab some “easy money,” which may make minting AI art NFTs not worth the effort. But, of course, this also depends on the artist’s reason for doing so and will be influenced by their branding and the market’s attitude toward AI-generated art NFTs.
NFTs, or non-fungible tokens, have been used for tokenizing art pieces for a few years now, and with some collections worth millions, it is easy to understand why the NFT bubble grew so huge in 2021-2022. However, with NFT prices crashing and use cases becoming more important than speculative hype, it is not nearly as easy to make money minting or flipping NFTs as it was during the NFT bubble, and the market is now thoroughly saturated with low-quality work.
Thanks to AI art generators like Starryai, creating a beautiful piece of digital art using little more than text inputs is now easy. Starryai encourages minting AI art as NFTs and provides several steps to doing so using OpenSea’s free public minting service. However, finding buyers for AI-generated NFT art may be difficult once the market has been saturated, at which point marketing, quality and branding will matter more if the goal is to sell the NFT. If the artist just wants to prove they produced the art first, then it is worth minting an NFT for that purpose alone, but if the goal is to make money, then they may soon find themselves drowning in a sea of competition.
In Art, Quality Is Better Than Quantity
Although AI image generators can produce beautiful artwork, they often churn out weird distortions that nobody would pay for. Several pieces will need to be created before one high-quality piece comes out, which will cost money. While it is also tempting to use OpenSea’s NFT creator for convenience and cost savings, all NFTs created through the public minting service are lumped together in the same NFT smart contract alongside free minted plagiarized NFT scams and aren’t minted on the blockchain until bought (a process called “lazy minting“). While casual NFT buyers don’t care, serious collectors may view these NFTs as being “cheap,” so if an artist aims to build professional credibility and maximize the quality of their art, then it may be worth rolling their own NFTs instead.
Independently created NFTs do not suffer from the perception of low quality that lazy-minted NFTs suffer from and come with the benefit of being accessible to multiple NFT exchanges immediately. On the downside, they offer no difference in content quality, they cost additional time and “gas fees” to create, and they require some (but not many) technical skills to set up. Either way, NFT artists should consider buying an NFT domain name for their crypto wallet, as it will show a human-readable name for their wallet address instead of the default hexadecimal address, which makes a massive difference in brand recognition. These approaches may improve quality and visibility, but if the market is saturated, then they won’t matter anyway.
Whether AI-generated art is worth minting as NFTs depends on the artist’s intentions and expectations and the amount of work and quality they are willing to put into it. Just because AI-generated art is easy to produce doesn’t mean it will be easy to sell, as it will become challenging to sell AI-generated art NFTs when everyone else gets the same idea and floods the market. Given the low barrier to entry, it is likely the NFT market will soon be saturated with this type of art. It may be unrealistic to expect it to sell for more than a low double-digit sum once the initial hype wave has subsided, if one ever occurs at all.