April 28, 2022

Coinbase NFT Marketplace Gets Off to Rocky Start

Quick take:

  • Coinbase NFT Marketplace attracts only 150 users on the first day.
  • The marketplace seems to be failing to attract new users.

The cryptocurrency exchange's newly created NFT marketplace, Coinbase NFT, has so far failed to attract consumers.

According to statistics from Dune Analytics, the marketplace, which launched its beta to the public yesterday, had less than 150 new customers join up for its platform on its first day. As of Wednesday evening, the total number of users on Coinbase NFT was 1,112. The marketplace now has 1,192 total users.

According to Dune, Coinbase NFT only witnessed 150 transactions on its first day accessible to the public, totaling around $75,000 in Ethereum (ETH). That's less than a single Bored Ape costs.

Coinbase anticipated a bigger entry

NFTs are one-of-a-kind tokens based on Ethereum that are used to prove ownership of digital goods including art, video game items, and other assets. The market for NFTs grew to more than $20 billion in 2021, and it is expected to grow even faster by the end of 2022.

OpenSea is now the largest NFT trading platform on the market, earning billions of dollars in trading volume each month. According to Dune statistics, the biggest NFT marketplace had $177.2 million worth of ETH transacted on its platform yesterday, and it now has over 1.65 million total members.

The sluggish start of Coinbase might be due to a variety of factors. For starters, there's already a lot of competition, with companies like LooksRare, Rarible, Foundation, NiftyGateway, and SuperRare filling niches in smaller markets.

And there will be more rivals. The waitlist for Kraken NFT, which will provide zero gas fees (the charges generally associated with transacting on the Ethereum network) through custodied trading and will launch in a few months, is now available.

Written by

Coinbase NFT Marketplace Gets Off to Rocky Start

Vignesh Karunanidhi

Vignesh's crypto journey started in 2016 when his friend introduced him to the world of crypto. After completing his postgraduation in Commerce, he realized that crypto is his niche. Since then, he has written crypto content for various exchanges and startups. He is passionate about crypto writing and has recently started crypto journalism. Apart from writing, he loves languages and can speak over 5 languages.

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