Magic Eden NFT Platform Decentralizes to Non-Fungible DAO, Unveils Token

Magic Eden NFT Platform Decentralizes to Non-Fungible DAO, Unveils Token (Image: The Block)

In a surprising move, NFT platform Magic Eden has announced plans to decentralize its operations, open-sourcing all technology and transferring transaction protocols and NFT issuance to another organization.

This organization, named Non-Fungible DAO, is a decentralized community-driven entity aimed at advancing projects in the NFT space.

Initially, Non-Fungible DAO will assume management rights over Magic Eden and oversee NFT trading activities across supported blockchains including Solana, Ethereum, Polygon, and Bitcoin.

Notably, Non-Fungible DAO will empower community governance through a token named NFT, enabling holders to participate in voting on critical protocol decisions. However, details regarding the tokenomics of NFT are yet to be disclosed.

Non-Fungible DAO has hinted that details about an upcoming DAO airdrop event will be revealed soon.

In a related announcement on the evening of January 22nd, Magic Eden also unveiled an updated rewards program, starting on Solana and soon expanding to three other blockchains. The platform also announced plans to implement cross-chain crypto wallets for the NFT collector community.

Magic Eden was once a leading NFT trading platform within the Solana ecosystem. However, during the 2022-2023 downtrend, the project expanded to other blockchains to attract more users.

Nevertheless, Magic Eden's market share on both Solana and Ethereum has significantly decreased with the emergence of new-generation NFT platforms with their own native tokens.

Daily transaction volume statistics of Solana NFT platforms over the past 3 months. Source: The Block (22/01/2024)