On Thursday, GameStop revealed its intentions to build an NFT marketplace, stating that the initiative would be developed in collaboration with Immutable X, an Australian blockchain company.
GameStop will use Immutable X as a layer-2 partner and platform, and the NFT marketplace will be based on the Ethereum blockchain-based Immutable X platform.
GameStop's entry into the cryptocurrency and Web3 markets will mark the company's first foray into this fashionable but as yet unproven area of technology. According to a press statement from GameStop, the NFT marketplace will debut later this year.
According to the gaming company, producers from game studios, web 3.0, metaverse gaming developers, and others may apply to become content creators on GameStop's marketplace. Those interested in buying and selling NFTs connected to digital assets for usage in various video games will be able to do so. These digital assets include character skins and weapons.
Last year, GameStop was looking to hire a "head of Web3 gaming" as well as a range of NFT-based roles, indicating its interest in blockchain technology. Last month, it also employed more than 20 additional employees to oversee its newly formed NFT unit.
In addition, GameStop and Immutable X intend to establish approximately $100 million in Immutable's cryptocurrency, IMX tokens, to assist videogame developers in creating nonfungible tokens for the marketplace.
Companies who already use Immutable X will be able to showcase their NFTs on the marketplace, giving the new GameStop project a boost. GameStop will also receive up to $150 million in tokens from Immutable X if the project proceeds as planned.
According to the statement released by GameStop, "Creators from gaming studios, web 3.0 and metaverse gaming developers, and elsewhere can request to be a content creator on GameStop's NFT marketplace."
NFTs are non-interchangeable, one-of-a-kind data units recorded on a blockchain that allows users to own, buy, and exchange digital products. Because of their large carbon footprint, NFTs are subject to a considerable amount of criticism. Immutable X's Ethereum blockchain-based platform claims to reduce these drawbacks by integrating many NFT purchases into a single Ethereum transaction and by purchasing carbon offsets, among other things.
Some people are also critical of NFTs due to the fact that they do not physically exist. It is unclear whether the gaming community will welcome GameStop's venture into the NFT space.