Coinbase, the largest crypto exchange in the U.S. by volume, announced the launch of its beta NFT marketplace this Wednesday. This comes after the main announcement in October that community members will now get another marketplace to trade their digital collectables.
The 89 million users strong marketplace, which will support the trading of Ethereum-based NFTs, will break into a monopolized market dominated by OpenSea, a marketplace that saw $2.4 billion in transaction volume in the last month alone, and LooksRare, which has $18 billion in total volume according to data aggregator DappRadar.
Coinbase has high hopes of overcoming its competition thanks to its platform’s Instagram-like social features, which will allow its users to follow similar accounts, like and comment on their feed, an announcement that took Twitter by the storm as Twitter users all over the world expressed excitement about the prospect of being able to engage with other users without leaving the platform.
During the press conference, Sanchan Saxena, vice president of product at Coinbase, described the experience as a “web3 social marketplace,” allowing users to buy, sell and engage with creators, collectors, and the community around the NFTs they own.
During the beta launch, Coinbase will be curating a number of NFT collections like Doodles, World of Women, and Azuki. Alex Plutzer, NFT product lead at Coinbase NFT, said during a press conference: “We’ll cycle these [collections] out over time to help introduce people to awesome NFTs on the platform, especially for people who aren’t as familiar with NFTs.
The platform currently supports Ethereum-based standards ERC-721 and ERC-1155 and will initially be available for a “small number” of people in the United States, a Coinbase spokesperson said and rolled out over the next three to five weeks as the platform is tested. For those on the waitlist, there will be no transaction fees on NFTs on its marketplace “for a limited time.” Over time, the fee will increase, but will be a “low single-digit fee,” Sanchan Saxena, vice president of product at Coinbase, said during the meeting.
Those at the top of Coinbase NFT’s waitlist will also be able to become beta testers on its marketplace and create a profile and showcase their created and traded NFTs.
When it comes to moderation, Coinbase will not have a problem with an NFT collection “as long as it’s not illegal in the country that the NFTs are being offered”, in which case, Coinbase will ban the collection.
In the future, Coinbase NFT plans to add more features like NFT drops, minting, and token-gated communities. It’s also planning on adding the option to purchase NFTs with a Coinbase account or credit card, making the community more accessible to the mainstream audience.
The Coinbase NFT marketplace is available for U.S. waitlist users on www.nft.coinbase.com
If you see something out of place or would like to contribute to this story, check out our Ethics and Policy section.