Cryptocurrency exchange, Coinbase Global Inc. has unveiled plans to create its NFT marketplace, Coinbase NFT, by the end of the year. The company announced this via a blog post on Tuesday. It stated that its peer-to-peer marketplace will allow users to mint, discover, collect and trade collectibles.
According to the Vice president of Products, Sanchan Saxena, “Just as Coinbase helped millions of people access Bitcoin for the first time in an easy and trusted way — we want to do the same for the NFTs.“
The company stated that the system in place makes the creative process complicated for NFT creators. It hopes that its new platform will provide an alternative for artists. According to the post, the company stated, “We will make it effortless for artists to maintain creative control through decentralized contracts and metadata transparency,” Coinbase vows, saying that “all NFTs are on-chain.”
Interested users can begin to sign up for a waiting list.
Opportunity in the NFT Ecosystem
The move for Coinbase could not have come at a better time. In just the third quarter of 2021, NFTs trading volume ran into $10.7 billion. This amounted to about a 704% increase from the second quarter when it was just under $2 billion.
Thus, diversifying into the ecosystem could potentially open up additional streams of income for Coinbase. It also comes at a time when the largest NFT marketplace, OpenSea admitted to internal trading on its platform.
However, it’s not just Coinbase looking towards NFTs. Many individuals and companies are jumping on the expanding trend and the opportunities inherent in NFTs. Most recently, Sam Bankman-Fried’s FTX also announced the launch of its NFT marketplace, the FTX NFT. This was created on the Solana blockchain.
Unlike the FTX NFT, The Coinbase NFT will be created on the Ethereum blockchain. “The initial launch will support Ethereum based ERC-721 and ERC-1155 standards with multi-chain support planned soon after,” Saxena explains.