Amazon Enter NFT Market with Launch of Web3 Enterprise

Amazon, the world’s largest retailer, is set to enter the NFT market with the launch of a Web3 enterprise, according to multiple sources familiar with the matter. While Amazon has been experimenting with Web3 technology for some time, the creation of an NFT platform would be a big step into the crypto and blockchain realms. According to many sources, Amazon has been pushing the digital collectibles endeavor around to various industry powerhouses such as blockchain-based game businesses, developers, digital asset exchanges, and layer-1 blockchains.

Focus on Blockchain-based Gaming and NFT Applications

According to sources, the NFT project will focus on blockchain-based gaming and associated NFT applications. One example would be persuading Amazon users to play crypto games in exchange for free NFTs. Although the project is still in its early stages, insiders indicate that the e-commerce behemoth will reveal its lofty crypto plans in April. Amazon’s debut in the crypto field will have an impact on existing participants in the business if Amazon executes and does it correctly.

Amazon’s NFT endeavor is still in the early stages, and it is unclear who will head the project. But, according to two reports, the platform would be administered by Amazon itself, rather than its popular web-hosting platform, Amazon Web Services (AWS). A fifth source also claims that Amazon has been looking into various Web3 initiatives recently, which would necessitate internal Web3 hires. Meanwhile, AWS has occasionally listed jobs for Web3 developers and engineers.

Amazon’s Web3 Ambitions and Priorities

The exact scope of Amazon’s Web3 ambitions and final goals is unknown. While Amazon’s NFT strategy might include some NFT gaming activities, it is unclear whether the business aims to compete with established NFT marketplaces like OpenSea and Blur. Yet, two sources indicate that a successful Amazon NFT launch would pose a significant danger to both businesses. OpenSea and BLUR, today’s leading NFT marketplace by trading volume, has over 2.5 million users.

Andy Jassy, Amazon’s CEO, has previously claimed that the company is open to selling NFTs and that the corporation is not closing the door to cryptocurrencies in general. However, Amazon’s Coins program, introduced in 2013, is more akin to a straightforward loyalty program than a crypto initiative.

Amazon’s recent collaboration with Ava Labs

AWS has announced a collaboration with Ava Labs, the startup behind the Avalanche blockchain. The alliance is “a major boost for both individual and enterprise developers to be able to spin up nodes and test networks on the fly with AWS in whatever legal jurisdiction makes the most sense for them,” according to Emin Gün Sirer, founder of Ava Labs. The agreement shows that Amazon is researching multiple Web3 efforts and end objectives, which might include NFTs and other crypto-based applications.

Conclusion

Amazon’s debut into the crypto and blockchain spheres with an NFT effort is important and has the potential to disrupt established industry participants. The full scope of Amazon’s Web3 aims and end goals are unknown, but the development of an NFT platform would be a huge step into the crypto realm. While details of Amazon’s NFT program are still being developed, the business is anticipated to reveal its audacious crypto plans in the spring.