TLDR Breakdown
- KuCoin’s Pool-X is planning to launch a non-fungible token (NFT) exchange.
- The exchange believes NFTs have great potential, and it’s positioned for mainstream adoption.
KuCoin exchange plans to launch NFT marketplace
Although still nascent, the non-fungible tokens (NFTs) market is being considered by many industry participants as the next big trend in the crypto industry. Its popularity and mainstream adoption are also becoming more imminent as centralized crypto exchanges are entering into the market, with the latest being KuCoin. Per an announcement on Monday, the global crypto exchange is preparing to launch an NFT exchange via its subsidiary trading platform, Pool-X.
KuCoin to reduce NFT trading threshold
Affiliated with KuCoin, Pool-X is an independent liquidity trading platform that presents itself as the “next-generation PoS exchange.” As reported, the platform is preparing to debut an NFT marketplace in the coming months, which would allow NFT market participants to trade the assets. Before the NFT marketplace launches, Pool-X will enable deposits and withdrawals for Dego.Finance NFT assets, making KuCoin the first major cryptocurrency exchange to support such service via its subsidiary.
In accordance with the words of Johnny Lyu, the CEO of KuCoin Global, non-fungible tokens have several application scenarios in bonds, insurance, and many fields, despite its small market. “KuCoin is paying close attention to the NFT market. Although NFTs don’t have enough market attention at present, the potential is great.” By launching the marketplace, NFT users are being provided a more user-friendly medium for trading the assets.
The exchange noted that such development could aid in the improvement of NFT liquidity, including the market popularization.
NFTs are going mainstream
The non-fungible tokens transaction volume surged to $230 million in H1 2020, according to the NFT market data provided by NonFungible.com, an NFT analytics platform. This performance accounts for an almost 300 percent increase in a year-on-year chart. This is one other evidence showing the growing participation in the NFT market. The data also confirmed 78,881 active users in the market, which represents a 5.7 percent increase.
