Did you forget about Coinbase’s NFT Platform?
Coinbase NFT, the non-fungible token (NFT) platform of cryptocurrency exchange Coinbase, announced on Wednesday that it is temporarily pausing future NFT drops. The move has caused some confusion and rumors of a marketplace shutdown, but the company has assured its users that the NFT marketplace is not closing. Instead, Coinbase NFT says it is focusing its efforts on other features and tools that creators have requested.
We recently shared that we are pausing creator Drops on the NFT marketplace to focus on other features and tools that creators have asked for.— Coinbase NFT (@Coinbase_NFT) February 1, 2023
To be clear: We are not shutting down the Coinbase NFT marketplace.
Since its launch in the spring of 2022, Coinbase NFT has struggled to attract users and has seen limited success. In comparison to rival marketplace OpenSea, which saw over $11.3 million in total volume traded in Ethereum NFTs in just one day, Coinbase NFT has only seen roughly $7.34 million in all-time total volume traded. The most successful day the platform had was in early September 2022, when it saw just 447 ETH of total volume traded, which is approximately $735,315.
Despite its limited success, Coinbase NFT has continued to release new features for its marketplace, such as a bulk manage tool, rarity filters, and time-delayed listings. However, these efforts have not brought the desired results, and the marketplace has seen just $106 in total volume traded in the past 24 hours, according to a Dune Analytics dashboard.
The announcement of the pause in NFT drops has drawn criticism from some Twitter users who have joked about the marketplace’s small user base. However, Coinbase NFT says the decision will allow its developers to focus on other important areas for its users and will ultimately lead to an enduring product that better serves the community in the long run.
It is unclear why Coinbase NFT has to pause NFT drops to launch other features, but the company has stated that its team has realigned its resources to focus on the highest impact areas for its users. The company’s Chief Product Officer Surojit Chatterjee also stepped away from the company just six months after Coinbase NFT’s launch.
Congratulations on your upcoming drop!— Coinbase NFT (@Coinbase_NFT) February 1, 2023
To clear up confusion: we're pausing Drops for now to focus on other areas within Coinbase NFT, but we're not shutting down the Coinbase NFT marketplace.
As we shared with you, we'd love to find more ways to work with you in the future.
Despite the challenges, Coinbase remains optimistic about its future in the NFT space and says its mission for Coinbase NFT remains unchanged. The company has assured its users that it is not shutting down its marketplace and is instead focused on building an enduring product that best serves the community.