Amazon's NFT Marketplace to Open in April?

Image of news story Amazon's NFT Marketplace to Open in April?
4 April 2023

There are rumors circulating that Amazon plans to launch its NFT marketplace in April. According to anonymous sources cited by Big Whale, Amazon is planning to launch 15 NFT collections alongside its marketplace on April 24. The platform will reportedly be available as a tab on Amazon's main website titled "Amazon Digital Marketplace". Initially, the platform will only be available to customers in the United States before being rolled out internationally. Some reports suggest that the launch of the marketplace was delayed twice in the aftermath of FTX's high-profile collapse last November.

Amazon's NFT marketplace may feature digital assets from Pudgy Penguins and other Web3 businesses. The marketplace is planned to be operated on a private blockchain by Amazon, as confirmed by a secret presentation investigated by media company Blockworks. So, let's take a closer look at what we know so far.

The report states that Pudgy Penguins and other Web3 businesses will be featured on Amazon's NFT marketplace. Amazon plans to launch this marketplace on a private blockchain. Users will be able to buy NFTs as they would any other product on Amazon, but they won't be able to exchange them outside of Amazon's blockchain. This is part of Amazon's plan to promote Web3 acceptance among its 300 million active users.

The documents also reveal that Amazon's blockchain for digital assets is read-only and gas-free, and it's restricted to Amazon customers, developers, and partners. Amazon has entered into several covert launch agreements, and plans to use its streaming service, Twitch, to promote the project. Additionally, Amazon has partnered with a number of cryptocurrency game companies to sell NFTs associated with their games.

Regarding the community, Amazon reportedly plans to offer its partners premium Discord memberships. The marketplace will also provide members with access to a special club, behind-the-scenes meet-and-greets with musicians and celebrities, and exclusive drops of music, ebooks, movies, and TV episodes. After customers purchase NFTs, Amazon will also distribute physical products.

Amazon's NFT platform debut was originally scheduled for the fourth quarter of 2022, but it has since been delayed. Amazon has changed its launch strategy several times, and partners tied to the project, including Pudgy Penguins, Beeple, and Proof Collective, have not yet commented on the matter. However, Amazon requires its Web3 partners to sign non-disclosure agreements.

No Crypto?!

Despite the excitement surrounding Amazon's NFT marketplace, it's important to note that the platform reportedly won't support crypto assets. According to Web3 developer AlexIsBuilding, users will only be able to purchase NFTs using credit cards, and Amazon has no plans to accept cryptocurrency or wallets like MetaMask anytime soon.

However, there is still potential for physical goods to be tied to NFT purchases. Blockworks reported that Amazon plans to produce physical items associated with many of the NFTs available on the platform. For instance, shoppers may be able to buy a fashion-oriented NFT tied to a pair of jeans and have the physical jeans delivered to their doorstep.

In January, Amazon partnered with Ava Labs, the team behind the Avalanche Layer 1 blockchain, to offer AWS services to developers. While it's unclear if this partnership will be utilized for the NFT marketplace, it's clear that Amazon is keeping a close eye on the blockchain space.

Overall, while Amazon's NFT marketplace may not support cryptocurrency directly, the platform's potential to bring NFTs to the mainstream audience is significant.

Amazon's NFT marketplace has the potential to revolutionize the digital asset space. With Pudgy Penguins and other Web3 businesses likely to feature, it'll be interesting to see how this platform performs in the future. Despite these rumors and reports, it's important to note that nothing has been confirmed by Amazon at this time. We'll have to wait and see if the e-commerce giant does, in fact, launch its NFT marketplace.