Binance, the largest cryptocurrency brokerage in the world by trading volume, announced the creation of NFT, a global marketplace for non-fungible tokens. The new platform will launch in June.
The company aims to provide the largest NFT trading platform globally with the best minting, buying, and exchanging experiences. Binance NFT will share the same system account, allowing users to access the marketplace alongside our other ecosystem offerings.
Binance serves millions of users worldwide, many of whom now have access to the expanding market for NFTs. According to Changpeng Zhao, the company’s CEO, Binance’s marketplace NFT will also support smallholders, providing more liquidity and cheaper rates for users.
The growth of the NFTs market has led to the emergence of several sites focused on trading this type of token in the blockchain. The most famous are OpenSea and Rarible. Many others have also found space in the sector, such as MakersPlace.
Binance is not the first crypto broker to develop its own NFT platform. North American Gemini, of the Winklevoss brothers, has the Nifty Gateway, which also occupies one of the largest platforms of its kind in the world.
What are NFTs?
NFTs can represent digital files, such as art, audio, videos, posters, disc covers, and other forms of creative work.
NFTs stand for Non-Fungible Tokens or non-fungible assets. That is a type of asset that is unique and cannot be modified. A work of art is an example of NFT. There may be many copies of a painting, but there is only one that is the original.
NFTs represent the cryptocurrency value of digital works of art, which allows them to be marked and traded as negotiable digital goods. However, beyond being a non-tangible asset, what increases their value often is the hype you get on the internet.
In early 2021, Mark Cuban, an American billionaire, reflected on this revolution of the new stores of value. Many speak of bitcoin as one of those stores of value that can substitute gold. Yet, for Cuban, everything is part of the same idea. He explained that many other precious metals meet the exact requirements, but gold has more buyers. There is nothing unique or special about gold except that enough people believe in that story and buy gold.
A recent report by NonFungible.com showed that the NFT market tripled in 2020, with the total value of transactions increasing by 299%. The study finds that NFTs are poised to become one of the leading emerging asset classes for the virtual economy in the coming years.
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