Crypto-currency exchange platform FTX makes a foray into the US NFT market

The exchange platform has also implemented a paywall following the launch of the NFT marketplace to deal with spam incidents.

Sam Bankman-Fried, CEO of FTX, rather interestingly announced that the crypto-currency exchange platform has launched its own non-fungible token (NFT) marketplace. He introduced the platform with a simple piece of “Test” art that he created. The artwork has since escalated in auction and sold this morning for $270,000. The FTX CEO explained in his Twitter post that the exchange’s new NFT platform would be available exclusively for U.S. customers and would allow them to buy, sell and even mint their own NFTs.

The new platform will allow cross-chain trading on Ethereum and Solana, to which Bankman-Fried added that users would soon receive additional features. He listed some of the aspects that will soon be introduced, including the ability to deposit and withdraw funds. There will also be a provision for users to transfer NFTs from external sources to FTX.

The announcement signified a change in the current FTX model that limits users to storage and viewing. With an improved business model, users will be able to sell their NFTs through the platform, taking advantage of the deposit and withdrawal features.

The NFT marketplace was initially launched with free access for all, but it experienced several spam incidents shortly after its launch. This led the exchange platform to impose a one-time $500 fee for users to sign up.

“Due to the massive number of submissions, too many of which were just a picture of a fish, we are now imposing a one-time $500 fee to submit NFTs,” Bankman-Fried tweeted.

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However, as expected, users have not taken kindly to the changes. After persistent resistance from customers, FTX dropped the $500 fee that had been imposed and then offered a fairer flat rate of $10 for all users who wanted to hit NFTs, with users who had paid the original $500 being refunded.

With this new offer, FTX intends to charge users on both sides of the sale. The buyer will have to pay 5%, while the sellers will also have to pay 5%. The exchange platform has advised potential customers to participate in trading only if they understand it, as all NFT purchases will be non-refundable.

Many industry players have increasingly embraced and even provided their clients with the ability to play with NFTs. Binance, the largest crypto-currency trading platform in the mo announced its NFT platform in collaboration with artists, athletes and other creators in June of this year.