Crossmint, an NFT tooling and API company, is helping enterprise companies scale their NFT minting by making it more affordable.
While non-fungible tokens (NFTs) offer many use cases, including collectibles, ticketing, and customer loyalty, the cost of mass-producing them has been prohibitive for mainstream companies. However, Crossmint is leveraging a new innovation on the Solana blockchain called compressed NFTs to make large-scale NFT use cases economically feasible for the first time.
Compressed NFTs are a new class of NFTs that employ a technique known as state compression to reduce the load of data storage. This method uses a Merkle tree structure to store the minimal amount of data on-chain in order to confirm that the underlying data is correct. The Solana Foundation introduced compressed NFTs in 2022, and the cost for minting a Solana NFT dropped to roughly USD 0.000005.
Through the compression of the underlying data, NFT developers are able to store a larger amount of information on the blockchain at a lower cost, all while preserving the authenticity and individuality of their digital assets. This reduction in cost has now made it practical for mainstream companies to create NFTs on a large scale.
According to Rodri Fernández Touza, the co-founder of Crossmint, before the innovation of compressed NFTs, use cases such as ticketing and soccer season passes were not feasible due to the high cost of NFT minting, which was approximately 40 cents per ticket. However, Crossmint’s solution has made these large-scale use cases more economical, unlocking new possibilities for NFT use cases and fostering brand fandom.
