GameStop NFT Marketplace was an instant hit, but did it live up to user expectations?
Controversies, ups and downs, total exclusion from analysts, comebacks, and slumps all make up the backstory of GameStop, the world-renowned gaming accessories store.
In what seemed like a roller coaster of stock price slumps, fans picked the company’s name from the dust to finally implement blockchain technology as a reward for gaming, giving GameStop a place on center stage in 2022.
GameStop’s NFT marketplace was an immediate success after its launch, with over 1,831 ETH (~$2.7 million) in transaction volume and $45,000 in first-day transaction fees. This number means the platform surpassed Coinbase’s $74,000 in NFT marketplace sales on day one.
While it appears to be immediate in a shrinking market, is GameStop NFT Marketplace living up to user expectations? This article is an in-depth review of the latest NFT market in the crypto space.
What is the GameStop NFT marketplace?
GameStop NFT Marketplace is a decentralized platform that allows users to create, buy and sell non-fungible tokens (NFTs).
Headquartered in Grapevine, Texas, GameStop is the nation’s leading retailer of consumer electronics, video games and gaming merchandise. The company carries a wide range of gaming systems, accessories and consoles, including PlayStation, Xbox and Nintendo games, and also offers trade-in services.
With digital video game sales on the rise, and even Sony launching the PlayStation 5, GameStop decided to get into encryption and is now counting on it to boost revenue. In 2021, the company posted significant losses (a net loss of $147.5 million in Q4 2021) and even laid off some workers.
In February 2022, GameStop announced plans to open up its NFT marketplace to tap into a growing emerging industry, thereby expanding the company’s revenue. The marketplace has finally graced the NFT space with the July 11th public beta.
Participants in the GameStop NFT marketplace can buy, sell, or create digital art, collectibles, photography, sports memorabilia, and other creations. The creation of NFTs on this marketplace is currently only open to selected creators. Those interested in becoming platform creators can apply to become NFT creators on this marketplace. NFT-based trading platforms are currently looking to expand user engagement and therefore want to bring in new NFT creators.
The GameStop NFT marketplace has 345 listed collections containing over 57,000 NFTs. Its best-selling NFT series is Metaboy – a set of 10,000 animated GIFs in total.
In less than a month since its inception, the GameStop NFT marketplace has generated over $7.2 million in sales, with a transaction fee (royalty fee) of 2.25% per transaction, and over $100,000 in revenue. The GameStop NFT marketplace has over 54,000 different NFTs in approximately 250 collections.
How the GameStop NFT marketplace works
The GameStop NFT marketplace is developed on the Loopring Network – a Layer 2 (L2) scaling solution on the Ethereum blockchain. Thanks to the Loopring protocol, the marketplace offers high-speed transactions and low gas fees. Ethereum’s transaction fees have gotten out of hand recently due to increased network congestion causing many users to incur additional fees.
The Loopring protocol can process thousands of transactions per second on the GameStop NFT marketplace with cost-effective gas fees. Think of Loopring as a kind of bus that batches all these transactions in the market into one big block and sends it to Ethereum. This makes transactions faster and cheaper.
The NFT Marketplace is still in early beta and currently only supports Loopring. It doesn’t natively support Ethereum, which means you can’t trade NFTs on Ethereum. Instead, you can only buy, sell, or trade NFTs minted on Loopring. Therefore, this market does not support all high-value blue-chip Ethereum-based NFTs. Considering that most NFTs are on the Ethereum blockchain, this is a huge limitation of the GameStop NFT market.
In addition to Loopring, this marketplace has partnered with Immutable X to offer more gaming NFTs on the marketplace. Immutable X is another Ethereum layer that is very similar to Loopring, but primarily supports crypto gaming NFTs, making it an ideal partner for the company. GameStop with Immutable X is currently offering $100 million in grants to builders and creators to build things and use marketplaces with cryptocurrencies.
GameStop NFT Market Layout
GameStop NFT Marketplace has a user-friendly UI/UX design. The layout is high quality and easy to navigate. The homepage gives you access to the marketplace, featured creators that rank high on the main marketplace page. The page is dominated by a black and white background. The homepage has two options for exploring the NFT market and minting (creating) NFTs quickly, but the latter option is only available for selected users.
The page also integrates with a very simple and informative statistics page. The statistics page ranks the listed NFTs based on transaction volume. GameStop’s marketplace is still in beta, so it’s missing some of the features that can be seen in other NFT marketplaces such as OpenSea. For example, it lacks the ability for users to view transaction data and sales data for NFT collections.
While still in Beta, GameStop NFT Marketplace includes a plethora of features, making it one of the best NFT marketplaces in the crypto space. Some notable features on the platform include:
The GameStop NFT Marketplace facilitates the purchase, sale, creation (minting), and collection of unique collectibles, artwork, and more from a global community, creators, and global brands. These NFTs can be traded and transferred between collectors.
Users can browse a large collection of NFTs with different search and filtering options based on category, price or collection. Users can also apply to become featured creators on the platform, mint their own NFTs, set creator fees, and earn income every time they sell NFTs.
The GameStop NFT marketplace is developed on the Loopring Network – a Layer 2 (L2) scaling solution on the Ethereum blockchain. The marketplace also supports immutable L2 to facilitate the integration of more gaming NFTs in the marketplace. The platform is a self-custodial marketplace, which means that users are the true owners of their digital assets.
3. Supported Wallets
Currently, the GameStop NFT marketplace only supports three wallets. these are:
- Wallet Connect
- GameStop Wallet
Since the GameStop wallet is still in beta, MetaMask is highly recommended when using the marketplace, and beware of fraud.
4. Payment method
GameStop currently supports cryptocurrency payments, specifically Ethereum (ETH). To make a payment, ETH first needs to be transferred from the Ethereum network to the GameStop NFT Loopring Layer 2. The platform does not support payments in fiat currencies such as USD.
GameStop NFT Marketplace charges a 2.5% fee for each transaction on the platform. This fee is included in the selling price of the NFT, which means buyers don’t have to pay anything extra when buying their favorite NFT.
Creators in the marketplace have the flexibility to set creator fees as they see fit. They will then receive a creator fee on each sale of that particular NFT. Also, they can adjust the fees at any time.
6. NFTs that can be purchased on the GameStop NFT Marketplace
The GameStop NFT Marketplace has a collection of over 250 NFTs containing nearly 55,000 different NFTs, some of which have multiple limited editions. Some of the NFTs you can buy at GameStop include:
- TV drama
- trading card
The collection of NFTs is still growing, with more categories to come in the coming months.
Are GameStop NFTs worth it?
GameStop is a leader in gaming, with tons of rave reviews. The company recently entered the crypto space with the launch of a crypto wallet and GameStop NFT marketplace. While the market is still in beta, its launch has been a huge success despite a significant drop in NFT sales. The platform has the following advantages and disadvantages:
Advantages of GameStop NFTs
- Lots of NFTs in multiple categories
- strong security measures
- There are no minimum account requirements to use the platform – it’s open to everyone.
- No buyer fees
- easy to use
- Relatively fast and cheap transaction fees
- unmanaged market
- It only supports ETH payments, not fiat currencies
- Since it is built on Loopring, only NFTs minted on Loopring can be bought, sold or traded. Therefore, most high-value blue-chip Ethereum-based NFTs cannot be processed.
- It does not offer a collection of blue chip NFTs.
- Interested NFT creators must apply to become a Selected NFT Creator.
- low royalties
The GameStop NFT marketplace has been in existence for less than a month, and despite the overall decline in NFT sales, it has been a huge success in terms of sales. The platform’s weekly sales reached $7.2 million, double the historical NFT sales of its rival Coinbase NFT marketplace. Thanks to the Loopring L2 network, the marketplace stands out for its intuitive user interface and relatively fast transaction speeds.
The 2.25% fee on all sales transactions is competitive compared to other NFT marketplaces. However, the platform only supports ETH payments and limits the number of wallets connected in the market to three. Overall, it’s a great NFT marketplace, especially if you’re an avid gamer interested in trading and collecting various NFT collections.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/gamestop-nft-market-analysis/
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