OpenSea, which plans an IPO, turned wool into revenue

“Trash OpenSea.”

The NFT community was very lively last night, and OpenSea was scolded again. The reason is that Lyft CFO Brian Roberts, the leading American car-hailing company, has become the new CFO of OpenSea.

This is a good thing, but the new CFO announced his new plan as soon as he took office. He plans to plan an IPO for OpenSea. He said: “If a company has such a rapid growth rate, it would be foolish not to consider listing it. NS.”

At present, no company has issued its own token after the IPO; at present, in order to get OpenSea “potential” airdrop, countless people have used hundreds of wallet addresses to brush transactions on OpenSea, and use their own credit to bring OpenSea. Revenue, but it is very likely to get nothing.

OpenSea, which plans an IPO, turned wool into revenue

In fact, many people expect that OpenSea will choose an IPO instead of issuing a native token. One is that OpenSea is headquartered in New York, and it is bound to face many difficulties in compliance if it wants to issue tokens; the other is that OpenSea is essentially a centralized Internet product.

There is actually no difference between OpenSea and eBay, except that physical goods are replaced by digital goods (NFT). They are actually traditional C2C e-commerce platforms, earning income from each transaction fee. Up to now, the total transaction volume of OpenSea in the second half of 2021 is as high as 12.347 billion U.S. dollars, and each transaction OpenSea will charge a 2.5% handling fee, with a total revenue of 309 million U.S. dollars.

“The world suffers from OpenSea for a long time”

This is a saying often said in the community. Although OpenSea has impressive results, it occupies 97% of the market share in the NFT field and has 750,000 users. OpenSea, which is essentially an Internet product, has not brought people the application of Internet products. Some experience.

With the explosion of NFT in the second half of this year, OpenSea website traffic has surged, but it is clear that OpenSea is not prepared for this. Almost every time a phenomenon-level explosive NFT is released, or KOLs such as Beanie and Gary Vaynerchuk promote a certain NFT at the same time During the series, the OpenSea website will collapse due to the surge in the number of visitors.

If such a problem occurred when the NFT just broke out, it can be understood that the team did not expect the NFT to erupt so quickly, but now it has been half a year since the beginning of the outbreak, this problem still occurs frequently and must be attributed to the OpenSea team. Delays and slack. OpenSea even encountered the problem that all NFTs could not be placed in order for a period of time. This caused the NFTs that have been placed in order to be bought one by one. The severe shortage of market supply caused the floor price to rise rapidly in a short period of time. After returning to normal, market supply resumed and floor prices fell rapidly. The problems caused by OpenSea caused countless buyers to suffer losses.

In addition, while OpenSea’s “competitors” continue to develop, the development of OpenSea seems to have stalled.

SuperRare has launched a reward function. Nifty Gateway will open the function of using the Ethereum wallet to trade NFTs in January and can greatly save gas fees. Rarible has launched a private message function and the Rarible Protocol DAO which is used to create a practical tool in the NFT field; NFT Trader Allowing people to trade their own NFTs in the form of barter exchange, Genie allows people to scan goods and place orders in batches.

Other trading platforms are developing in full swing, and the frequently launched new features have also given the community the confidence to continue to support, but OpenSea has stayed in place in the wave of the times. Indeed, 97% of the market share is enough to give OpenSea a sufficient sense of security, and almost no platform has a chance to beat OpenSea in a short period of time. However, after Nate Chastain, the product manager who used to be the most efficient at OpenSea, was fired due to the “mouse warehouse” incident, more and more people’s suggestions were ignored, and more and more people responded to questions and asked for help, but there was no response. OpenSea The declining efficiency and the arrogance of the team make more and more people feel dissatisfied.

What people often pursue is to let a Web3 product have the experience of using Web2, but from the current point of view, it can be said that OpenSea is clearly a product of Web2 but has the experience of using Web3.

OpenSea’s Web3 ideal

And this sense of contradiction is also due to the inaccuracy of the OpenSea team’s positioning of itself. The “semi-decentralization” of OpenSea also makes the entire platform somewhat “four different”. On the one hand, I want to be as open as a decentralized platform, so there is no review step when users create NFTs. On the other hand, they can directly remove or freeze users’ NFTs in a centralized manner.

However, the OpenSea team has repeatedly expressed its desire to make OpenSea a Web3 application. The founder of OpenSea was on The First Mint podcast and talked about the close cooperation relationship between OpenSea and other companies. It lies in the multi-company relationship (Multi-Company)”, and the new CFO of OpenSea is even more blunt to create the future of NFT, Web3 and the digital economy.

The token plays an extremely important role in Web3 applications. Whether it is used for community governance, user attention compensation or Skin-in-the-Game (benefit sharing, risk sharing), tokens are indispensable tools. This is why people are expecting OpenSea to issue their own native tokens and believe that if OpenSea issues tokens, they will definitely issue airdrops to users. Also, given the size and revenue of OpenSea, if airdrops are of great value, some people will not hesitate to spend manpower. The financial resources used hundreds of accounts to interact with OpenSea one by one, hoping to make a lot of money when sending airdrops.

As soon as the news that OpenSea was planning an IPO came out, the community screamed.

Some people thought that they could squeeze wool because of the airdrop dream , but they didn’t expect that they were contributing to OpenSea’s revenue. Some people are angry and indisputable.

The founder of OpenSea mentioned in an interview that OpenSea was successful because it “appeared in the right place at the right time” and actively listened to users’ suggestions to understand what they really want. In the past, OpenSea occupied the first-mover advantage and actively listened to the suggestions of the community. It is indispensable for the community and users to walk step by step to the present day. At that time, OpenSea really allowed people to see that the team was working hard to move towards Web3.

However, after the volume has become so huge, OpenSea has become a bit “willingly go its own way.”

The new CFO of OpenSea said: “If a company has such a rapid growth rate, it would be too stupid not to consider listing it.” However, is it “smart” whether OpenSea, which was born in Web3, chose to abandon Web3 after its success. What about?

Indeed, starting from the benefits of OpenSea, IPO is indeed a way to get more benefits for itself, and the choice it made also means that it has abandoned its Web3 ideals.

OpenSea’s choice has been criticized by countless people. OpenSea’s income comes from the residents of Web3, but OpenSea chooses to distribute these income to the residents of Web2 rather than sharing it with its own users. OpenSea’s brand stems from the support of the community. It is the frequent use of hundreds of thousands of Web3 users every day that makes OpenSea famous and earning a lot of money. OpenSea should be incentivized, but choosing an IPO means that these supporters have to buy OpenSea shares. Can get incentives.

Nowadays, when we think about which other platform besides OpenSea can undertake the functions of OpenSea and be more Web3, it is difficult to come up with an answer. Many people can’t even name the other platforms. The monopoly of OpenSea prevents many NFT platforms from surviving. chance. In the past, some new platforms used SushiSwap to fight Uniswap, hoping to take advantage of OpenSea, but in the end, OpenSea’s market share was still an astonishing 97%.

We can’t make a choice for OpenSea, and it’s hard to guess the mindset of the OpenSea team. Perhaps OpenSea wants to replicate the old path of its predecessor Coinbase. Perhaps OpenSea’s choice is common in the Web2 era, but it is obviously unreasonable in the Web3 era. .

The founder of OpenSea said: “We have prepared enough supplies to survive the cold winter safely.” When the winter comes, where should we go to keep warm?

Posted by:CoinYuppie,Reprinted with attribution to:
Coinyuppie is an open information publishing platform, all information provided is not related to the views and positions of coinyuppie, and does not constitute any investment and financial advice. Users are expected to carefully screen and prevent risks.

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