Coinbase Partners with Mastercard for Upcoming NFT Marketplace

Coinbase is looking to make NFTs more accessible by allowing users to purchase them using fiat currency (USD, PHP, etc.). To do so, the cryptocurrency platform recently announced that it is partnering with Mastercard which will enable buyers to use their credit or debit cards on its upcoming marketplace without the need to acquire digital coins first before making an NFT transaction.

It hopes to “classify NFTs as ‘digital goods” going in opposition against most marketplaces that traditionally require users to purchase cryptocurrency and connect their secure wallets to the platform in order to make a purchase. “Expanding the audience for NFTs allows this burgeoning market to support more creators and could spark the next evolution of digital commerce,” explained Mastercard executive vice president of digital asset and blockchain products Raj Dhamodharan.

“Getting more people involved safely and securely is perhaps the best way to help the NFT market thrive.” Adding to the safety of buying NFTs, Dhamodharan also pointed out that it plans to integrate its acquisition of the cryptocurrency intelligence company CipherTrace. Coinbase NFT, the exchange’s planned marketplace, was earlier announced in October 2021.

While the marketplace is still set to go live, users can already sign up for the waitlist which will give them early access. The move to use credit and debit cards for NFT payments is nothing new. Nifty Gateway and Rarible, both NFT marketplaces, already provide this option to their users.

However, the larger and more prominent platforms such as OpenSea and Binance still require buyers to convert their fiat currency to cryptocurrency — usually Ethereum (ETH) — before being able to trade NFTs. This also marks the latest in Mastercard’s partnership spree with crypto companies. The credit card company has already entered into agreements with Gemini, BitPay, and Mintable.

Source: The Verge, CNBC