Cryptocurrency exchange Zebpay, which has claimed to have a user base of over 3 million in India, is now exploring broader crypto market opportunities, such as digital collectibles.
With its launch of a new marketplace called Dazzle, Zebpay has chosen to expand into the nonfungible token space. NFTs are unique but tradeable blockchain assets, which can be used to represent all manner of virtual and real-world goods.
NFTs are unlike cryptocurrencies in that they can carry unique metadata and vary in their degree of rarity. They are increasingly becoming popular for tokenizing markets as diverse as video game items, digital art and fantasy sports.
A Zebpay representative told Cointelegraph that the exchange is seeking to promote blockchain engagement beyond cryptocurrencies among India's 5 million active crypto investors. In areas such as the digital art market, the exchange believes NFTs could offer Indian artists new opportunities to protect their digital copyrights and monetize their work. The representative further noted that the NFT global market has now hit $100 million in total value and growing, making it a promising sector.
For now, the marketplace is launching with Zebpay's native NFT, called Dazzle. Zebpay's representative said that the exchange plans to distribute tokens to members through various programs:
“We'll start with reward tokens offering zero membership or trading fees: some to our most loyal and active members, some as random airdrops, and some through fun contests. We probably will never sell them. We want to seed the ecosystem and let our members grow it organically. If they want to trade their NFTs, they can.”
As reported, a wide range of franchises, from top soccer clubs to Formula 1, are increasingly recognizing branded digital collectibles, NFT auctions and other blockchain-based ecosystems as efficient means to monetize fan engagement and construct markets for online viral phenomena and trends.
Blockchain developers such as Vitalik Buterin have long identified these diverse applications as a potential route for the technology to gain traction among more varied markets, beyond retail and professional digital-asset trading.