World's Largest Cryptocurrency Exchange 'Binance' Announces Launch of NFT Trading Platform

NFT Production and Trading Service... Targeting June Launch This Year
Attention on Whether It Will Trigger a Chain Reaction in the Exchange Industry

Zhao Changpeng, CEO of Binance [Photo by Binance Official Website]

[Asia Economy Reporter Kim Suhwan] Binance, the world's largest cryptocurrency exchange, plans to launch a platform where users can trade NFTs (Non-Fungible Tokens). This has drawn attention to whether other cryptocurrency exchanges will also begin to adopt NFTs in earnest, potentially triggering a chain reaction.

On the 27th (local time), according to CNBC, Binance announced that it is preparing to launch a service in June this year that allows users to create and trade NFTs. Helen Hai, head of Binance's NFT division, stated, "Our goal is to provide a leading global NFT trading platform service."

NFTs are digital assets that apply blockchain technology like Bitcoin, assigning unique identification values to various digital products such as paintings, tweets, videos, and images. This technology enables individuals to hold ownership rights over digital products. Although NFT assets can be copied on the internet, ownership of the original cannot be duplicated, giving NFTs the characteristic of scarcity.

According to NFT data analysis agency NonFungible.com, the trading volume of NFTs exceeded $2 billion (approximately 2.2 trillion KRW) in the first quarter of this year alone. Notably, this figure does not include the NFT artwork by digital artist Mike Winkelmann, which was traded at the prestigious American auction house Christie’s last month, suggesting the actual trading volume could be even larger. Winkelmann’s artwork was sold for $69 million at that time.

As the NFT trading craze spreads, the entry of the world's largest cryptocurrency exchange into the NFT market is expected to create a ripple effect throughout the cryptocurrency industry. Previously, the American cryptocurrency exchange Gemini acquired the NFT trading platform Nifty Gateway in 2019. Through this platform, Gemini facilitated NFT trades involving many famous American singers such as Eminem and Grimes, attracting significant attention.

Recently, Alicia Haas, Chief Financial Officer (CFO) of Coinbase, the largest American cryptocurrency exchange that was directly listed on the NASDAQ, also stated, "We are exploring additional revenue sources, including entering the NFT business, to reduce dependence on cryptocurrency trading."

This content was produced with the assistance of AI translation services.