Meta continues to integrate NFTs with Instagram. From now on, the social network will allow creating and selling non-fungible tokens. Good news, the group will absorb blockchain transaction fees for the launch of the service.
Meta, the parent company of Facebook, Instagram and WhatsApp, continues to open up to non-fungible tokens (NFTs). Under the leadership of its CEO Mark Zuckerberg, the group will enable content creators to do just that create and sell NFTs via Instagram.
Until now it was only possible to share a digital work already certified on the blockchain on the social network. To share an NFT on his Instagram account, it was in fact first necessary go through a third-party service to create the NFT or buy it from someone else. No creation or purchase was possible via Instagram.
Also Read: How Five Young Frenchmen Stole $2.5M From NFTs
Instagram becomes a competitor platform of OpenSea
From now on, Instagram will offer creators of create their NFTs directly from the application. Once the NFT has been registered in the blockchain database, it can be sold to the creator’s subscribers. You will not need to leave Instagram to complete the transaction. Creators can also choose their commission rate on resales of their NFTs, between 5 and 25%.
The NFT will automatically transfer to the Internet user’s chosen digital wallet, such as a Metamask wallet. Meta relies on the Polygon blockchain to develop your system. We bet that more blockchains will be added in the short term.
“They will have an A to Z toolbox – from creation (from the Polygon blockchain) and price visualization, to selling”Meta explains in a press release on its website.
Thanks to this novelty, the Instagram platform will become a direct competitor to the NFT giants like OpenSea, Rarible or even Magic Eden. The option could appeal to creators specializing in blockchain artwork while promoting the NFT industry to the general public. As a reminder, Instagram claims 1.2 billion monthly users worldwide.
“People can easily support their favorite creators by purchasing their digital memorabilia right on Instagram”argues Meta, who still refuses to mention the acronym NFT.
Initially, Meta reserves the functionality for ” a small group of creators in the United States ». Creators like photographer DrifterShoots, visual artist Ilse Valfré and artist Amber Vittoria are among the accounts selected as part of the experiment. The NFT creation is expected to expand rapidly to other countries and on a larger scale, the company assures.
Meta will absorb blockchain transaction fees
To launch the option, Meta will bear the transaction fees required by the blockchain. A buyer will not have to pay any fees when making a purchase. He must pay only the price requested by the seller. Meta, on the other hand, does not specify whether the creation costs will also be absorbed. It is therefore likely that the content creator will be forced to pay for it through his wallet.
Likewise, Meta will not prompt no fees on NFTs sold through its platform before 2024. In that year, the group will reclaim a portion of the profits. Let’s imagine that Meta could be modeled on the price list applied to Horizon Worlds, its metaverse. The company provides a 47.5% commission for NFT sales on the virtual reality platform.
Also, Meta states this apple taxwhich claims 30% on all transactions made through an iOS application from the App Store, should be taken into account.
In the process, Meta specifies that this can now be done share videos as NFT via Instagram. Finally, the firm now supports the Solana blockchain and Phantom, one of the most popular wallets in the ecosystem. Previously, Instagram only allowed NFT sharing via the Ethereum, Polygon, and Flow blockchains.
The importance of NFTs for Meta
Note that Facebook, the group’s flagship social network, has also opened up to NFTs this year. The platform has indeed allowed internet users to share non-fungible tokens on their message board since September. We imagine that the creation of digital works must eventually land on this social network.
By introducing NFTs natively to Instagram, we hope to achieve this goal and facilitate new forms of connection between billions of people and their favorite creators. I wrote more about why we are betting on blockchain to help grow the creator economy here👇 [6/6] https://t.co/DvJT5KZGzK
— Stephane Kasriel (@skasriel) November 2, 2022
For the record, NFTs are one of the cornerstones of the Meta strategy in the design of the metaverse. In the digital worlds imagined by Mark Zuckerberg and his teams, all elements (clothes, avatars, places, vehicles, etc.) will be non-fungible tokens. Thanks to blockchain technology, these items can be transferred from one space to another.
In a post on Medium, Stephane Kasriel, Head of Ecommerce at Meta, highlights the benefits of blockchain for content creators:
“Blockchain offers a solution by making assets and experiences more portable between platforms, ultimately giving creators more control over their work, the communities they create, and how they monetize”.
As Mark Zuckerberg regularly points out, interoperability, or the possibility that digital elements can work with each other, is one of the great challenges of the metaverse. Meta wants items purchased in one universe, such as virtual clothes, to be easily transportable to another digital space. For this to be possible, the company must imperatively rely on the blockchain. With this in mind, around thirty companies, including Adobe, Epic Games, Huawei and Ikea, have created the Metaverse Standards Forum consortium.