Magic Eden Announces Integration of Solana’s Compressed NFTs
- Magic Eden has announced support for Solana’s compressed NFTs (cNFTs).
- The move aims to lower the costs associated with minting NFTs and create an “easy access point” for new users.
- The firm said that users will be able to “explore new avenues that bring the fun back into NFTs” via the integration.
- The marketplace seeks to give “new collectors an opportunity to enjoy NFTs that are lower-stakes, fun, and affordable.”
Popular non-fungible token (NFT) marketplace Magic Eden has announced the integration of Solana compressed NFTs (cNFTs) in order to support low costs and increased scalability for NFT projects. According to the marketplace, the move will lower costs, while the production of NFTs will create an “easy access point” for new people to get into the space and explore what it has to offer.
The announcement was released via the official account of Magic Eden on social media platform X (previously known as Twitter), wherein the NFT marketplace confirmed that the integration of cNFTs will help “creators develop more content on a massive scale” and give “new collectors an opportunity to enjoy NFTs that are lower-stakes, fun, and affordable.”
Magic Eden stated that users will be able to “explore new avenues that bring the fun back into NFTs” via the integration, and that “creators can experiment more freely in an effortless way.” It is important to mention here that cNFTs differ a lot from the usual NFTs since their data is compressed and stored off-chain. This enables minting in larger quantities due to the low fees required.
According to Magic Eden, cNFTs can be used to create mass-produced collections in various industries like gaming, music, events, and the metaverse and allow creators to reach a wider audience without spending more money from their pockets. More importantly, cNFTs are powered by Solana’s state compression, which claims to allow the mining of 1 million NFTs for just $110. This is done by using Merkle trees, as per Jon Wong, the technical lead on the ecosystem engineering team at the Solana Foundation.
On the other hand, minting NFTs on Ethereum can be very costly, ranging from $2.9 to over $30 per NFT. cNFTs will lower the cost of minting drastically, as per Magic Eden. As per earlier reports, the NFT marketplace completed a Series B funding round in June 2022, raising $130 million from Electric Capital and Greylock. However, since then, the popularity and activity in the NFT space have declined significantly.
As reported earlier by Bitnation, the Solana blockchain-based project, Cardinal, shut down its operations in June 2023, and withdrawals remained active until August 26. Cardinal raised $4.4 million from the likes of Alameda Research and Animoca Brands.
A crypto journalist with over 3 years of experience in DeFi, NFT, metaverse, etc. Parth has worked with major media outlets in the crypto and finance world and has gained experience and expertise in crypto culture after surviving bear and bull markets over the years.
