Coinbase plans to launch a non-fungible token (NFT) market because the largest crypto asset exchange in the United States has joined the digital collectibles boom.
The exchange was listed in New York earlier this year and recently faced rigorous scrutiny by regulators, announcing that Coinbase NFT will allow users to create, buy or sell increasingly popular digital tokens that represent artworks or other collectibles.
The company stated that it hopes to “allow everyone to benefit from their creative sparks” and help transform the “creator economy” into the core driving force of the real economy.
If successful, given the continued enthusiasm of NFTs, Coinbase’s new market may create a profitable new source of income.
According to data from DappRadar, in the past month, OpenSea, the most popular NFT market, facilitated nearly $2.8 billion in NFT transactions on its platform, despite a slight slowdown in transaction volume in recent weeks. OpenSea draws 2.5% of any sales on its platform.
Coinbase did not comment on what its fee structure would look like, but said that in addition to the “gas” fees required to register NFTs on the blockchain, users do not need to pay any additional fees for creating, listing or promoting NFTs.
It added that although the initial release initially only supported minting on the Ethereum blockchain, the company will support other blockchains “soon”.
Critics dismissed NFT as a bubble and warned of the risk of fraud in areas with loose regulation. But Facebook CEO Mark Zuckerberg (Mark Zuckerberg) said that one day NFT may become a ubiquitous part of the online “metauniverse,” a virtual world in which Facebook aspires to play a role.
Last month, OpenSea admitted that one of its executives had been using internal knowledge to purchase products before promoting them in the market.
Coinbase stated that its “insider trading policy is designed to ensure that no one related to the company can use non-public information to trade encrypted assets (including NFTs)”, adding that some of its senior managers must comply with stricter policies.
After the US Securities and Exchange Commission warned that the group could not pay interest on mortgaged cryptocurrencies without permission, Coinbase recently shelved another product called Lend. Coinbase chief executive Brian Armstrong (Brian Armstrong) accused the regulator of “rough behavior.”