- eBay has expanded to allow the sale of non-fungible tokens (NFTs) on its platform as the global crypto frenzy continues to reach new heights
- These are a type of digital collectible based on blockchain technology — the same time of tech that powers cryptocurrencies like Bitcoin and Ethereum
- NFTs can be made of any digital asset, including artwork, video clips, images and even tweets
- In March, a digital piece of art sold for US$69 million (around A$88 million) making it one of the most expensive artworks ever sold by a living artist
- Now, eBay is letting people sell these digital assets through its massive online marketplace platform
- The online marketplace giant will initially only allow NFTs to be sold from trusted sellers who meet specific guidelines
- However, the company said as it learns more about the tech, it will expand its NFT platform across a broader range of categories and sellers
eBay has expanded to allow the sale of non-fungible tokens (NFTs) on its platform as the global crypto frenzy continues to reach new heights.
Digital collectibles have exploded in popularity this year, with buyers shelling out tens of millions of dollars for online trading cards, video clips and artwork.
In March, a digital piece of art by creator Mike Winkelmann — known as Beeple — sold for a whopping US$69 million (around A$88 million), making it one of the most expensive works ever sold by a living artist.
Now, eBay letting people sell these digital assets through its massive online marketplace platform.
What are NFTs?
Non-fungible tokens are based on blockchain technology, which is the same type of tech that powers cryptocurrencies like Bitcoin and Ethereum.
Any digital asset — from a video to an article to a tweet — can be turned into an NFT, which essentially authenticates its ownership and makes it entirely unique.
To be clear, this does not make the asset private — anyone can still view and enjoy the work for free. Owning a piece as an NFT, then, simply verifies that it belongs to you; it becomes an individual’s unique digital property.
The National Basketball Association launched its own NFT platform in 2020 called NBA Top Shot. This platform lets users buy and own short clips of historic highlights from basketball games. Anyone can watch the highlights for free on YouTube or other video services, but the NFT buyer owns the highlight.
In this way, Top Shot highlights act as digital collectible sports trading cards.
In March this year, Twitter CEO and Co-Founder Jack Dorsey sold his first-ever tweet as an NFT for US$2.9 million (around A$3.7 million).
Other digital artists and creators have begun selling their works as NFTs, and collectors are paying top-dollar for the assets.
eBay expanding to digital collectibles
eBay announced this week it will let creators sell their unique NFT works through its marketplace platform.
“eBay has always been the world’s destination for buying and selling the most unique and hard-to-find items – and we’ll continue to be the destination for collectors of all kinds, physical or digital,” Jordan Sweetnam, eBay’s Senior Vice President and General Manager for North America said in a statement.
“This opportunity unlocks new assets for collecting, new ways for people to fuel their passion, and expands eBay’s appeal to a new generation of collectors,” he said.
He said the global technological advancements that brought about the creation of NFTs have provided greater opportunities for artists and creators, as well as for collectors.
“We plan to double down on this idea — combining eBay’s global reach with the principle that anyone can find almost anything on our platform,” Jordan said.
“This premise is what makes NFTs on eBay so exciting, and why we want to partner with creators, sellers and brands who share our commitment to maintaining an open marketplace. “
As it stands, eBay will only allow NFT inventory to be sold on its platform through trusted sellers who meet specific standards. Further, the NFTs on offer will focus primarily on categories like trading cards, music, entertainment and art.
However, eBay said it will expand its NFT platform across a broader range of categories and sellers as it learns more about the relatively new tech and implements programs, policies and tools to protect buyers and sellers.