Magic Eden NFT Marketplace tries to lure traffic with rewards as the market crumbles

Magic Eden is trying to increase engagement on its platform at a time when the digital asset market as a whole is going through a downturn. The Solana-based NFT marketplace has announced a loyalty rewards initiative to entice buyers of digital collectibles. The feature will earn users five ‘Magic Points’ for every trade worth SOL 1. According to the current market price, Solana (SOL) is trading at $14 (approximately Rs. 1,170). As users collect more Magic Points, the platform will upgrade them to complete all Loyalty Levels.

Each loyalty level unlocks different benefits for people who use Magic Eden to buy and sell digital collectibles.

These rewards include exclusive content from creators, discounts from partners, and NFTs sent to them via air.

For now, the rewards program has launched in beta, the company said in a Twitter post.

A select number of users are already testing the program.

“We want Magic Eden to become a place where collectors and creators connect beyond the transaction level, and instead a hub where users can connect more deeply with the community,” said Coindesk. report said CEO Jack Lu.

The platform, which raised $130 million (approximately Rs. 1,020 crore) in a Series A funding round at the end of June, recently reached a valuation of $1.6 billion (approximately Rs. 12,620 crore).

Earlier this year, the marketplace added support for NFTs built on the Ethereum blockchain.

Solana NFT volumes have declined since June, with sales volume figures of $91.52 million (approximately Rs. 730 crore) in June, down 64 percent from $261.07 million (approximately Rs. 2,100 crore) in May 2022, one analysis had been highlighted by BeingCrypto in previous months.

Sales volumes also plummeted on the OpenSea NFT marketplace, Magic Eden’s more established rival.

According to Dune data from the crypto analytics community, OpenSea’s trading volume declined steadily over the first two quarters of the year, reaching $3.1 billion (approximately Rs. 24,800 crore) in May.


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