Big changes are coming to Magic Eden, the popular cross-chain NFT marketplace. On Monday, the startup announced: Issuance and trading protocols provided as open source In collaboration with the new Non-Fungible Dao—Plans to launch a crypto token called “NFT” to reward NFT traders.
On Tuesday, Magic Eden revealed more about how it plans to amplify its existing features. diamond rewards program While discussing blockchain as a whole, decryption How users can profit from the launch of NFT tokens.
Magic Eden General Manager Tiffany Huang said. decryption The Non-Fungible DAO will award NFT tokens to those who “use the protocols it governs,” including the Magic Eden marketplace and chain-wide issuance protocols.
Huang said Magic Eden itself has launched NFT tokens, but it is not yet clear on which chain the non-fungible DAO will launch NFT tokens. Solana It is still primarily associated with chains. Although no specific details are provided in terms of timing or token allocation, the link between the NFT token drop and the Magic Eden transaction has been explicitly revealed.
Introducing Magic Eden Rewards
Over the past year, we have designed a long-term cross-chain NFT rewards program built for everyone. This is not just a points campaign. It’s a carefully designed plan to give back to Magic Eden’s OGs, collectors, creators, and Degen alike… pic.twitter.com/RQkJpoZEvi
— Magic Eden 🪄 (@MagicEden) January 23, 2024
“What we can objectively say is that people who use Magic Eden’s protocol will receive (NFT tokens),” Huang asserted.
At the same time, Magic Eden will expand its existing diamond rewards system and apply it to all four chains that offer it. Huang said Magic Eden’s internal increase in diamonds will continue indefinitely, describing the Diamonds model and the DAO’s NFT token drop as “parallel paths” for trading rewards.
“Magic Eden’s Diamond program is a program we want to continue forever, beyond just a Non-Fungible DAO launching NFT tokens,” Huang said.
Diamonds currently exist in Solana, Ethereum NFT Marketplace Coming Soon—Created in collaboration with Bored Ape Yacht Club creator Yuga Labs and is currently scheduled for release in late February. After that, Magic Eden will bring these rewards to Bitcoin and Polygon as well.
Magic Eden will also be implementing rewards into new products. Cross-chain cryptocurrency walletwill be released to the public on January 29th, following a closed beta debut last November.
Unlike other points-based models that primarily focus on rewarding NFT traders who list assets for sale or provide liquidity to trading pools, Magic Eden also plans to reward regular retail users who simply purchase NFTs through the marketplace, Huang said. said:
The diamond model will offer a series of quests that must be completed to earn points, she added. Magic Eden will also be giving away a large quantity of diamonds to long-time users on February 2nd to reward them after the market launches in 2021.
There is clearly some overlap between NFT token rewards and diamonds, but Magic Eden treats them as separate initiatives.
“The more you use Magic Eden, the more diamonds you get, and the more you use Magic Eden, the more NFTs you get,” she explained. “However, there is no direct correlation between diamonds and tokens. They are two separate programs.”
Go open source
What is Irreplaceable DAO? It’s not entirely clear at this point.
Huang described it as a “community-owned” organization with its own team separate from Magic Eden, which has “released different tokens historically.” decryption I requested to be connected to the Non-Fungible DAO team, but they did not contact me before this article was published.
Decentralization is essential for global adoption of NFTs. Magic Eden will open source and contribute all NFT trading and minting protocols to the Non-Fungible DAO. https://t.co/5gUzwqdDnh
— Magic Eden 🪄 (@MagicEden) January 22, 2024
We have seen examples in the past of decentralized foundations or organizations being used to launch tokens used in cryptocurrency apps or protocols, as well as NFT projects. While this is seen as a means to avoid regulatory issues from the SEC and other agencies, this approach tends to raise questions about whether this is all a ruse, a bit of “decentralized theater.”
for example, Ape Coin On the surface Boring Monkey Yacht Club However, Bored Ape creator Yuga Labs denies responsibility for creating the ecosystem, despite accepting tokens and receiving a significant allocation to the project. The official line is that ApeCoin was created by the ApeCoin DAO.
The same may be true for Magic Eden and Non-Fungible DAOs, as the market is the only major supporter associated with DAOs at the moment.
Citing questions about the concept of decentralized theater and the ApeCoin DAO as an example, Huang responded that Magic Eden has long wanted to embrace a more open source model. But the road to get there was not a straight line. Magic Eden is Although it has been criticized in the past, It uses closed source code and refuses combinability with other protocols.
that much $NFT The community will control and manage the future development and adoption of the DAO protocol, which will allow each token holder to vote on the governance and use of ecosystem funds.
— Non-Fungible DAO (@Non_FungibleDAO) January 22, 2024
“I think it was fair that there was that discussion and that it caused quite a bit of disappointment in the community at the time,” Huang acknowledged. “As we grew, it became really clear that we had to choose the next best option. And we ultimately wanted to choose the spirit of Web3 over everything else.”
Magic Eden announced last year that it would eventually open source the smart contracts powering the Solana Protocol, and had already released open source code when the Solana Protocol was launched. Bitcoin ordinal support begins. Huang said he would do the same with Ethereum. polygon Over the coming months, after a long reflection on Magic Eden’s role in the NFT world.
“I think we needed to be closed source to continue to build without being distracted in the fog of war,” she said of Magic Eden’s past mindset as it began scaling cross-chain. “I think there was a mistake in our attitude toward it.”
But now Magic Eden is moving toward a future where other builders can use its technology to launch their own marketplaces targeting specific markets or niches and attempt to expand the broader NFT industry.
But why now? The launch of Non-Fungible DAO and Magic Eden’s expanded rewards plan means that rival Tensor It has captured significant NFT trading market share. Solana—Recently, around 70-80%. Tensor has its own compensation model, which hints at potential token launches, which could spur growth.
But Huang said it’s something Magic Eden has been building on incrementally so far, with the launch of cross-chain infrastructure and wallets and the company’s evolving stance on open source technology. From the team’s perspective, the time has finally arrived.
“Think of it like playing chess for two years,” Huang said. “You finally have to get all the right pieces in place and then drive adoption of those pieces. We also want to thank our community for sticking with us for so long.”
Editor Guillermo Jimenez
