Jesse Powell, founder and CEO of Kraken, said that their exchange would soon offer non-fungible coins (NFTs).
“We’re now developing an NFT platform to provide investors with exposure to the booming NFT business,” Powell remarked in a Tuesday interview with Bloomberg’s Emily Chang.
Powell also called attention to the “massive amount of activity that has occurred lately around NFTs…in connection with different Metaverses.” He emphasised that this category included non-fungible tokens used in virtual worlds, such as land parcels, digital clothes, and proof-of-membership tokens.
This includes initiatives by Metaverse-focused businesses such as Meta and The Sandbox, as well as collaborations with partners such as Pepsi and Adidas.
“We believe this is going to grow into a much larger issue, and…we want to be in front of it for consumers,” Powell said.
In September, Kraken produced a study claiming that NFTs accounted for 49% of all gas used, making them the “primary attraction on Ethereum.” Additionally, it has issued a more comprehensive explanation of the technology.
Other Exchanges Have Recognized the Benefits of NFTs
Other cryptocurrency exchanges have already benefited from NFT trading. In October, FTX started its own NFT marketplace and added support for Ethereum NFTs this month. Meanwhile, Binance launched its own NFT marketplace in June. Coinbase has also announced the launch of a new NFT marketplace, which already has over 1.5 million members as of October. In November, Huobi also began testing its own NFT platform.
If Kraken is successful in developing an NFT marketplace, it will be one of the world’s biggest cryptocurrency exchanges. Kraken processed $1.4 billion in trade volume during the last 24 hours, ranking it tenth in that category. Powell made no mention of a possible launch date for the service.
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