For its future NFT marketplace, Coinbase has teamed up with Mastercard to accept card payments. When using a Mastercard credit or debit card, this means that you won’t first need to buy cryptocurrencies before making a purchase of an NFT with fiat currency (also known as a government-issued currency, such the USD).
Mastercard is working with the cryptocurrency exchange to “classify NFTs as ‘digital commodities,'” which should make NFTs more accessible to those who are hesitant about purchasing and keeping bitcoin. In order to use an NFT marketplace, you must first buy cryptocurrency, add it to a safe wallet, and then connect the wallet to the marketplace. This isn’t as straightforward as making an internet purchase as you might expect.
WHAT IS AN NFT?
Through the use of NFTs and the blockchain, you can trade ownership of one-of-a-kind digital assets. “Non-fungible token” is an acronym for “non-redeemable token,” and it may be used to store anything digital, from animated GIFs to music and video game goods. As with a real-life painting, an NFT might be an original or one of many copies (like trading cards), but the blockchain records who owns each file.
Nyan Cat and “deal with it” sunglasses are among the high-profile NFTs that have recently sold for millions of dollars at auction. There’s also a lot of talk regarding NFTs’ huge electricity consumption and environmental implications. In the event that you still have questions, you can check out our NFT FAQ page.
Increasing the number of people who can benefit from NFTs could lead to the next phase of digital commerce, says Raj Dhamodharan, Mastercard’s executive vice president of digital asset and blockchain products in an announcement on Mastercard’s website. In order to assist the NFT business grow, “getting more individuals participating safely and securely is probably the best approach to.” According to Dhamodharan, MasterCard’s acquisition of cryptocurrency intelligence company CipherTrace will assist strengthen the security of NFT purchases.
It was in October of last year that Coinbase initially introduced Coinbase NFT as a platform for trading, selling, and minting NFTs. Despite the fact that Coinbase NFT has yet to become live, there is a waitlist you may join in order to get a head start. Nifty Gateway has been offering credit and debit card payments since the beginning of the NFT marketplaces’ existence. You can also use a Visa or Mastercard to pay for an NFT on Rarible.
In order to make a purchase on OpenSea, you must first contribute money to your account using a third-party service called MoonPay and then convert that money to Ethereum. NFTs can only be purchased on Binance if the user has bitcoin in their wallet.