Nick Lynch is the CEO at Collidescope.io.
I know, I know … not NFTs again. This early 2021-2022 trend led to lots of discussion and some big wins in the heyday of the crypto boom. But despite skepticism around their staying power, NFTs continue to prove their worth as a valuable asset in fundraising and community building.
As someone who follows the market closely and who has supported nonprofits in building and selling their NFTs, I’d like to highlight some best practices and key considerations for launching a successful NFT campaign.
Building A Deeper Connection
The first rule of thumb for nonprofits looking to explore NFTs is to avoid treating them as a “get rich quick” gimmick. The true power of NFTs lies in their ability to forge a stronger bond between a cause and its supporters.
For example, Unchained Elephants, a mission committed to “rescuing working elephants enduring cruel treatments” in Thailand isn’t just about raising funds; it’s about educating people so they can be part of the solution. This education component requires a multifaceted approach, including NFTs that offer supporters exclusive updates and merchandise, enabling a deeper engagement with the cause. By ensuring their NFTs resonate with their audience’s values and interests, the rescue mission is able to build a community of dedicated supporters.
Understanding Your Audience
A critical step before launching an NFT project is to have a clear understanding of who your donors are and where they spend their time online. If your audience is not tech-savvy, simplifying the onboarding process is essential.
I’ve seen organizations learn this the hard way. For example, if you initially choose a lesser-known blockchain for your campaign, it can lead to challenges in engaging nontechnical users. Pivoting to a more traditional crowdfunding method alongside NFT sales—a strategic move that Unchained Elephants made—and/or opening up to additional blockchains can accommodate a more diverse supporter base, proving that flexibility and accessibility are key to reaching a wider audience.
The Power Of Collaboration
Collaborations and partnerships can significantly amplify the impact of an NFT campaign. By partnering with artists, creators and influencers who share your mission and values, you can create compelling NFT content that captivates and motivates your audience.
Best Practices For Launching An NFT Project
To summarize my main points above, here are some best practices to consider before launching your next NFT project.
• Value Alignment: Ensure your NFTs reflect the values and interests of your cause and community. This is crucial for engaging supporters on a deeper level.
• Audience Understanding: Tailor the onboarding process to your audience’s technical proficiency. Simplifying access to your NFTs can broaden your donor base.
• Strategic Partnerships: Collaborate with people and organizations that share your mission. These partnerships can enhance the credibility and appeal of your NFTs.
• Flexibility And Adaptability: Be prepared to pivot your strategy based on feedback and changing circumstances. The ability to adapt is vital in the dynamic NFT landscape.
NFTs offer a unique and powerful avenue for nonprofits to fundraise, build community and engage supporters. However, success in this space requires more than just jumping on the bandwagon. It demands a thoughtful approach that prioritizes connection, understanding, collaboration and adaptability.
Forbes Nonprofit Council is an invitation-only organization for chief executives in successful nonprofit organizations. Do I qualify?
