Key Highlights:
- Meta announces Instagram NFT integration ;
- Meta remains committed to Web3 development;
- Meta chooses Polygon as the host blockchain to provide the necessary infrastructure;
- Instagram’s NFT feature will be free of charge till 2024,
- We discuss the implications for the NFT sector
Meta Announces NFT Integration for Instagram
Source: Google Images | Instagram NFT Integration
A week after reporting underwhelming and disappointing Q3 earnings as its metaverse project suffers, Meta (NASDAQ: META) has announced plans to integrate non-fungible token (NFT) tools into its giant social media platform, Instagram.
The new integration will allow NFT creators and enthusiasts to mint, display, or sell their digital artwork on Instagram. Meta made the announcement at the “Creator Week 2022” event on November 2, noting that the platform would allow NFTers to “make digital collectibles” and sell them “both on and outside Instagram.”
Source: Facebook | Creator Week 2022
The new NFT feature will be made available for a handful of creators in the US, including Amber Vittoria, Refik Anadol, Jason Seife, and Dave Krugman, to mention a few, and will eventually be accessible to other Instagram users.
Meta Keeping Its Eyes on Web3
The rollout of the new NFT tool called the “end-to-end tool kit” aligns with Meta’s proclaimed devotion to Web3 development. A few months ago, Instagram launched its Digital Collectibles feature, which allowed users in over 100 countries to connect their digital wallets and showcase NFTs they owned on their profiles. That said, the latest end-to-end tool kit is simply an upgrade from this feature, suggesting it might have recorded some success.
Meta said at the time that it subscribes to the Web3 vision and wants creators to better leverage NFTs and monetize their skills.
Speaking to this point, Head of Commerce and Fintech at Meta Stephane Kasriel said: “Our strategy for Web3 technologies—including blockchain—is focused on helping creators make a living,” adding:
“We believe Web3 technology, like blockchain, will positively enhance the economic model for creators by giving them the ability to create new types of digital assets to monetize.”
Regardless, Kasriel feels the crypto space in its current form is filled with “complex experiences” that are holding it back from attaining mass adoption. He called for a “much simpler user experience” for this disadvantage to be lifted.
Instagram NFT integration : Instagram’s End-To-End Tool kit to Launch on Polygon
The latest Instagram feature will initially launch on the Polygon blockchain, with other blockchains likely to follow depending on the success of the program.
Instagram users will have access to upload digital collectibles from already supported blockchains, including Ethereum, Polygon, and Flow, by linking wallets such as Rainbow, MetaMask, Trust Wallet, Coinbase Wallet, and Dapper Wallet.
Apart from the currently supported NFT blockchains, Meta also announced support for Solana and Phantom Wallet. After scaling its launch phase, Instagram will expand its supported digital collectible format to video NFTs.
Source: BSC News | Meta x Web3
To make things a bit easier for creators, metadata for certain NFT collections will be obtained from the giant NFT marketplace OpenSea.
Speaking about the latest development, Sandeep Nailwal, the co-founder of Polygon, expressed his delight, noting:
“This move represents a remarkable milestone in the evolution of Instagram’s existing NFT functionality and a natural next step to bring Web3 to the mainstream.”
Nailwal added: “The value added to the creator economy is unmatchable, and championing verifiable digital ownership on a platform with such reach will help us further our goal of onboarding the next billion users to Web3.”
Following the announcement of the news on November 2, Polygon’s native token, MATIC, saw a 14% value increase within 24 hours.
Source: TradingView | MATIC/USD Daily Chart
Payment Structure for the End-To-End Tool Kit
The new NFT feature for Instagram will be free of any charge, according to Meta, although such an arrangement will be announced eventually. Meta also guaranteed to cover Polygon’s gas fees for buyers “at launch,” but failed to give a timeframe for this promo.
Kasriel explained: “Meta won’t charge fees to create or sell digital collectibles until 2024,” but clarified that all in-app transactions “are still subject to applicable app store fees,” such as the Apple 30% tax.
For now, the new feature will likely only work with the desktop version, considering that both Apple and Google support in-app purchases only in fiat currencies.
Instagram NFT integration: What Does This Mean for NFTs?
Instagram, which boasts 2 billion active monthly users, is the perfect breeding ground for the mass adoption of an emerging technology or market. As users leverage the platform to showcase their individuality or creativity through pictures, art, and video. That said, integrating NFT tools on Instagram would allow creatives and other users to express themselves on the blockchain.
We live in a crypto echo chamber where it’s easy to fall under the delusion that NFTs are widely used and pervasive. But the broader public has repeatedly contradicted this notion because most people continue to doubt the applicability and effectiveness of NFTs.
In light of this, Instagram NFT integration into one of the most popular social media platforms may persuade people who are doubtful about NFTs to change their thoughts and introduce those who were unaware of their existence to the world of cryptocurrencies and digital ownership.
That said, as the everyday Instagram user grows more receptive to NFT project marketing, traditional marketing campaigns will suddenly become more successful with a stronger focus on NFTs throughout the social media platform.
In addition to an increase in overall marketing campaigns, seeing their favorite influencer flaunt their new NFT purchase will result in a changing landscape never before experienced.
It is safe to say that the Instagram-NFT integration will go a long way toward ushering in the much-needed public exposure for NFTs and serving as fuel for the mass adoption of the nascent sector.
Meanwhile, this move would also serve Meta well in its bid to break into the metaverse industry. Meta could leverage the tightly knit connection the metaverse and NFTs share to promulgate its metaverse project.
