Meta Testing NFTs as Facebook Posts in Zuckerberg’s Metaverse Push
Facebook this week began testing NFTs as posts with a “digital collectible” tag in a bid to expand its efforts in the metaverse.
Meta announced in June that it would expand testing of digital collectibles to Facebook and at a later date to Instagram with augmented reality platform SparkAR.
Meta’s trial with a small group of US creators comes as NFT sales plunged to the lowest levels in a year. NFT sales fell to nearly $1 billion in June from a high of $12.6 billion in January, the Guardian reported.
Research from crypto market data firm Chainalysis shows that was significantly lower than the same time last year, when sales were $648 million.
Jesse Smith, 45, of Richmond, Va., is one of 10 creators to try out the new feature. The creator of NFTs does not receive money from Facebook to publish their NFTs on the platform.
“It’s exciting, but I haven’t fully understood what that means because Facebook hasn’t communicated what’s going to happen,” Smith said. “I don’t know if they understand what’s going on because the world hasn’t fully understood NFTs yet.”
The Facebook post shows a photo of the NFT, but there is no direct link to connect it to the OpenSea exchange for purchase. Smith chose to post a link to it in the comments section.
The tattoo artist said it was like posting a normal photo, but the company gave him the option to click a “digital collectible” button when uploading.
“I don’t know why they chose me, they told me I had the audience demographic and ticked all the boxes for the things they were looking for,” he said.
The social media giant announced on Friday that it will shut down its pilot cryptocurrency wallet, Novi, in September amid a slowdown in the digital asset market.
The platform was testing crypto payments through the Facebook-backed Diem cryptocurrency, but had to scrap those plans. Diem’s chief executive said in a statement in January that it had emerged from discussions with federal regulators that he could not move forward with the project.
Facebook currently supports digital collectibles held on Ethereum, Polygon, and Flow blockchains, the website says.
Meta did not immediately respond to Insider’s request for comment.