Table of Contents
- 1 OpenSea, LooksRare, and Binance Overview
- 2 OpenSea vs. LooksRare vs. Binance Comparison
- 3 OpenSea, LooksRare, and Binance Pros and Cons
- 4 Opensea, LooksRare, and Binance Statistical Analysis
- 5 Final Word
Non-fungible tokens, or NFTs, are gaining traction, from IT titans to digital collectibles. With its rising popularity, many new marketplaces and systems for buying, selling, and trading NFTs have popped up. Some impose exorbitant fees, while some are clumsy and slow to process transactions.
Is Binance, OpenSea, or LooksRare the perfect platform for NFT trading? Although it’s a close decision, you should be aware of several advantages and disadvantages to using both NFT markets.
You’ll probably want to stick with one exchange as your primary cryptocurrency trading platform when everything is said and done. This article will supply you with a complete comparison of both services and a close examination of the facts you’ll need to make an informed decision.
OpenSea, LooksRare, and Binance Overview
Before proceeding, it is vital to understand each platform, including its intricacies and other features that might assist you in learning more about them. The aspects and key points are listed below to help you.
OpenSea is a non-fungible token (NFT) marketplace based in New York City, United States, and launched in 2017. Built on Ethereum, OpenSea provides a marketplace where non-fungible tokens are sold exclusively at a fixed price or through an auction.
Following a surge in demand for non-fungible tokens in 2021, the company’s sales increased to $95 million in February and $2.75 billion in September, making a sensation of $13.3 billion in January 2022.
OpenSea is a marketplace that allows members of the NFT to share access to data and devices without the need for a central server. OpenSea, in particular, provides the infrastructure for minting and selling NFTs. This platform can allow its actions to execute on the blockchain. To create, purchase, or exchange NFT-based digital goods, users do not need the help of a middleman. As a result, decentralization is an essential feature of the platform.
On January 11 of this year, the LooksRare platform was founded, touting itself as a platform “by NFT people, for NFT people.” It took just a few weeks for LooksRare to gain traction; during the first month of operation, LooksRare’s trade volume topped that of OpenSea on many occasions.
It’s a marketplace for NFTs, like many other sites. However, it distinguishes itself by focusing on the demands of NFT artists and collectors. It’s also notable for its one-of-a-kind cryptocurrency, LOOKS.
LooksRare is essentially a crowd NFT marketplace where traders and creators reward for their participation. LooksRare’s smart contracts, backed by the Ethereum blockchain system, provide users access to additional services, such as a set of NFT collections. NFT traders can maximize LooksRare’s potential by offering unique features such as collection-wide deals, fast royalty payouts for artists, etc. The ultimate goal of the LooksRare platform is to return the favor to its users and creators.
Binance Exchange is a significant cryptocurrency exchange based in Hong Kong created in 2017. The business has risen to become the world’s top crypto exchange by trading volume. With over 300 supported coins, it’s no surprise that Binance is the most popular cryptocurrency exchange in terms of trading volume. According to CoinRanking statistics, Binance now has a day trading activity of $27.76 billion.
Binance’s platform now supports over 1,000 market pairings and its extensive list of supported cryptocurrencies. It also includes several trading options, which users can swap or find new NFTs on Binance’s NFT marketplace.
It emphasizes cryptocurrency trading that supports over 500 cryptocurrencies and virtual assets.
OpenSea vs. LooksRare vs. Binance Comparison
Now that you have a fundamental idea of how they work, let’s compare OpenSea, LooksRare, and Binance, their advantages and disadvantages depending on their functions and solutions.
Users of LooksRare, built on the Ethereum blockchain, can trade Ethereum NFTs available on OpenSea. Every transaction on the site is subject to a 2.5 percent fee. Everyone is in the same boat. Because Ethereum is OpenSea’s primary currency, they may have a significant amount of Ethereum that has increased in value over several years.
Compared with the largest NFT marketplace, OpenSea, its fee on actual sales is only 2%, 20% lower. Furthermore, there are no hidden fees with private sales.
You will not be charged fees when you deposit your assets with Binance. Yet, when it comes to Binance exchange costs, you’ll pay 0.1 percent, a lower-than-average rate for trading on a secure platform. You will also be charged a 0.5 percent fee for Instant Buy or Sell, and the amount Binance charges you for utilizing the site may vary based on the deal.
LooksRare charged a transaction fee of 2%, which is less than OpenSea’s 2.5 percent, while Binance charges 0.1 percent and 0.5 percent for Instant Buy and Sell, respectively, which is much less than LooksRare and OpenSea. The artists will get a 99 percent profit on their first NFT sale and a 1% royalty payout on all subsequent NFT sales. Users who stake LOOKS tokens will receive 100 percent of LooksRare’s platform fees.
Trust & Security
Binance is now under investigation by numerous financial institutions. In addition, a security compromise at the exchange in 2019 resulted in the theft of 7,000 bitcoin.
Although the attack was caused mainly by losing customers’ 2FA credentials, which was outside the company’s control, it serves as an excellent warning to never keep significant sums of money in a hot wallet on an exchange.
Binance has now taken measures to compensate its customers for damages incurred due to the theft by using funds from its Secure Asset Fund and upgrading its security system with more stringent KYC and AML procedures.
While LookRare’s platform appears to be doing well, it’s worth noting that LooksRare has yet to release an official audit. It’s better to be safe than sorry when associated with smart contracts since several unregulated algorithms have lost millions in hacks.
Furthermore, there are no public repositories on LooksRare’s Github website. Their codes are concealed from public access, which is also a warning sign because visitors have no method of verifying the site’s security.
On the other hand, OpenSea said that 32 accounts were affected by hackers but later said that only 17 people fell for the phishing scam. Still, it isn’t clear who the hacker was, but OpenSea said the campaign was over when the attacker didn’t do anything for 15 hours. When did the attack happen? The attacker is assumed to have taken $1.7 million in Ethereum after selling the NFTs.
LooksRare has said that it will not delay or remove derivative projects’ “verified” status if their acts are not vicious. While in the past, OpenSea has torn offline derivatives of high-profile NFT projects. Binance, on the other hand, has blocked Nigerian users’ accounts following anti-money laundering legislation to safeguard the platform’s security.
Ways to Earn
On OpenSea, there are several methods to earn money. The website resembles a stock exchange. You can buy digital assets in the hopes of seeing them grow in value. Another option to get cash is creating and selling your digital assets. You can also be the asset’s original vendor. You may also assist in searching for the appropriate buyer for the right seller as part of the deal-making process. A modest fee will be yours if you help someone find someone to purchase or sell anything.
While on LooksRare, there will be an airdrop and two other kinds of rewards. 75% of all LOOKS tokens distribute to the community through these two methods. For trading, you gain LOOKS in the first round of prizes. You’ll earn more LOOKtokens bonuses the more you trade. You receive a reward for putting your token into a DeFi contract.
Stakers, on the other hand, don’t simply earn LOOKS benefits. They also receive 100% of the trading fees, which are now 2% of each buy in the form of wrapped ETH, which is what they receive. No OpenSea fees remain in OpenSea’s wallet. Stakers on LooksRare receive all of the costs.
On the other hand, users may save, stake, and become liquidity brokers using Binance Earn. About 3.65 million daily active users already use this sophisticated tool, and if you want to use its suite to make your money, the categories below will help you get started:
Flexible Savings: As the name implies, Flexible savings allow consumers to subscribe to this program and redeem their profits. It’s an excellent choice for anyone with a low-risk appetite.
BNB Vault: It is a capital-guaranteed trading solution that allows consumers to optimize their BNB’s earning potential. BNB holders who invest in the Vault may invest across centralized and decentralized financial products, maximizing their returns and taking advantage of the many possibilities accessible in the Binance ecosystem. It is also suitable for those who are wary about high-risk endeavors.
Fixed Savings: Consumers may save for 7–90 days and get higher rewards on their investments. While users can subscribe at any time, profits can only be claimed by the subscribers once the lock-up period has passed; otherwise, they risk losing their earned incentives.
Staking (Locked): Simply simply, staking is the action of locking currency to earn rewards. After you’ve successfully subscribed, you may redeem these assets, but you’ll need to wait for some time to unlock them. The duration of the locking period varies by product.
DeFi Staking: Binance launched DeFi (Decentralized Finance) staking to assist proxy users in participating in connected decentralized initiatives. Users may earn the maximum potential profits most straightforwardly and securely imaginable. Users who need to remove assets in advance may forfeit their corresponding benefits since there’s a lock-in period of assets.
Dual Investment: Another intriguing Binance Receive offering is the double investment, allowing customers to deposit a single coin and earn a payout from two different assets. Users that employ dual investment have a great deal of control over their liabilities. It provides non-guaranteed floating profits, allowing users to get the best potential returns while meeting their digital asset requirements.
Once an NFT is exchanged, LooksRare and Binance deliver quick royalty payments to creators. NFT producers and collection owners on OpenSea, on the other hand, may have to wait weeks for their earnings.
The interface is critical in any business since it is where independent and often unrelated technologies interact and interact on or connect. If your platforms serve a poor interface, it affects the performance and quality.
From the standpoint of the platform interface, OpenSea and Binance both took several years of re-engineering and continual development to get to their current state. LooksRare, on the other hand, is a new platform that began in January 2022, and the UI is tidy and valuable but not as good as OpenSea and Binance. OpenSea and Binance, on the other hand, have more features, and LooksRare will have to work hard to catch up. Binance is accessible on a variety of devices. The desktop program is available for Pc, Linux, and Mac. Its Android and iOS mobile app has several features that make your trading journey much more enjoyable and convenient. Overall, users have a remarkable ability to trade on the fly and earn some additional cash on these platforms, although LooksRare has to catch up when it comes to UI features.
Customer service is critical for any business since it keeps customers happy and allows them to get more benefits from them. Companies may recover customer investment expenditures and build a loyal fanbase that recommends consumers, serves case reports and gives testimonials and reviews by providing outstanding customer service.
OpenSea provides customer support through email. They will request your wallet address, and you will choose appropriate categories to provide thorough information about your inquiry. While LookRare offers live agent support in addition to email and chat. You may learn more about the procedure by visiting their help center website. On the other hand, users with a Binance account may communicate directly with Binance support via live chat. However, if you’re looking for further information on the platform’s services before committing, you’ll need to compose an email and pause for a response from the customer support team. Additionally, you may visit the Binance blog or Help Center to learn more about the system, deposits, transactions, and other features.
OpenSea, LooksRare, and Binance Pros and Cons
Binance Pros and Cons
- A large number of cryptocurrencies are supported.
- There is a native token to get lower trading costs.
- Excellent client service
- Most places in the world have access to it.
- The Binance platform is not accessible in the U.S.
- Users are frequently left in the dark when coins are suspended.
- Beginners may be intimidated by its user interface.
OpenSea Pros and Cons
- They give competitive commissions
- Numerous NFT collectibles and Superior security
- Accepts only cryptocurrency payments
- A cryptocurrency wallet is required to purchase and sell on the site.
LooksRare Pros and Cons
- LooksRare allows you to search for and view any non-fungible currency on the Ethereum blockchain in large quantities. Using their category system, you may also browse through the assets that spark your attention.
- The user interface is straightforward for those unfamiliar with the NFT realm.
- Compared to other markets, the platform has the lowest fees in the business. They impose a transaction cost of 2%, while their nearest rival charges a fee of 2.5 percent.
- When you perform transactions on our platform, you won’t have to worry about compromised cryptocurrencies or NFTs.
- You can’t buy assets utilizing fiat currency such as USD, GBP, AUD, etc., a credit card, or any other cryptocurrency right now.
- There is presently no mechanism for developers to issue their own NFTs on the platform.
Opensea, LooksRare, and Binance Statistical Analysis
Since its launch, more than $4 billion in NFTs have been exchanged on LooksRare. The marketplace’s trade volume is significantly larger than OpenSea’s. Binance had a great start when it recorded a net income of USD 7.5 million when it first launched. The net income statistics swelled to a stunning USD 850 million just in the company’s second year.
OpenSea has a substantially more significant number of users conducting trades and transactions than LooksRare. OpenSea has 1 million users and 325 percent more transactions than LooksRare. In comparison, Binance’s active users will be 28.6 million in 2021.
LooksRare has committed to distributing 2.87 million LOOKS tokens daily for the first month. It brings the total sum of daily rewards to a mind-boggling $11.5 million. Users earn these LOOKS tokens according to their proportion of the marketplace’s overall trading volume. As a result, it assumes that the sales trading volume numbers may reflect LooksRare’s supremacy. However, OpenSea continues to outperform and dominate its marketplace opponents. We will witness a significant change in overall trading sales volume statistics after LooksRare eliminates wash trading.
To sum up, LooksRare and OpenSea have a comparable fight in daily trading, but Binance got the top. The highest 24-hour trading volume on Binance is USD 76 billion, higher than the two platforms.
Binance should be considered if you want to enter into trading or improve your skills. It is one of the most popular crypto-to-crypto trading platforms despite several flaws.
Binance statistics for 2022 indeed show that it is currently the world’s most popular cryptocurrency trading platform. It has drawn many individuals since its inception not long ago. Countries with more developed financial systems, on the other hand, are opposing the platform. However, it is fast spreading in developing countries with less sophisticated economic systems.
Since the introduction of NFTs in early 2020, the major NFT marketplaces have been Opensea and LooksRear. However, if I must select between these two new platforms, I choose LooksRare over OpenSea.
If you like to purchase or sell NFTs shortly, LooksRare, a community-first NFT trading platform, has a proper incentive structure that benefits everyone, from platform traders to token stakes.
Despite having a significant lead over other marketplaces, LooksRare is catching up and has developed a healthy community by delivering on its promise of advantages to its members and acting as a legitimate alternative. Furthermore, LooksRare has a lot of opportunities to grow as long as there is a lot of interest in the NFT sector.
Nevertheless, some NFT marketplace users are disappointed with the services or products offered by these three platforms.
Hopefully, this study has aided you in discovering the platform’s full potential and comprehending the advantages of trading. However, before you join, we recommend carefully considering your investment and its risks.