Big tech giant Amazon is taking another step to solidify a position in the crypto industry. According to a report from crypto news outlet Blockworks, the company will launch a non-fungible token (NFT) initiative sometime in spring 2023.
The report cites six sources familiar with the matter. Blockworks claims that Amazon has partnered with over ten crypto projects to support its NFT initiative. The program could revive the sector and strengthen it following a decline in the NFT market from its 2021 high.
Amazon Embraces Crypto
According to the report, the e-commerce giant will focus on different sectors with plans to dab into NFT gaming. The platform will reward players with unique items in the form of NFTs.
Amazon already offers its Prime service subscribers access to a videogame platform. Members of this service can access the platform’s catalog and receive monthly rewards to claim AAA games. The new NFT initiative could bolster the service by offering new rewards and attracting new users.
The NFT platform is currently under development and could run on Amazon proper rather than in Amazon Web Services (AWS), Blockworks reported. The company could reveal further information in April 2023, but there is no official statement from Amazon or its executives.
Amazon is far from the first big tech company with crypto ambitions. Meta, Twitter, and others already launch their crypto initiatives allowing their users to interact with digital assets.
Regarding e-commerce and online purchases, its competitor, e-Bay, has made significant attempts to get a strong foothold in the nascent sector. In that sense, the company purchased the NFT marketplace KnownOrigin.
The e-commerce platform targets a “much bigger audience” to become a “truly worldwide platform.” Amazon could be pursuing similar objectives.
Two weeks ago, the company attracted attention in the crypto industry by revealing a partnership with Ava Labs, the company behind the Avalanche blockchain. The crypto company partnered with AWS to offer thousands of enterprises access to this network.
At the time of the announcement, Howard Wring, VP and Global Head of Startups at AWS, stated:
Looking forward, web3 and blockchain are inevitable. No one can call the time or date or quarter that it’s going to happen and it’ll be mainstream, but we’ve seen the cycles of growth before. The velocity of this one seems like it’s accelerating and we’re just excited to be a part of this.