Nikolas Sargeant
Global cryptocurrency exchange giant KuCoin has launched a USDT-dominated NFT (non-fungible token) ETF (exchange-traded fund) product, featuring famous NFTs such as the Bored Ape Yacht Club project.
KuCoin announced the launch of the new trading product last Friday, July 29, which was created in alliance with NFT infrastructure provider Fraction Protocol.
USDT-dominated EFT
One of the most notable things about KuCoin’s new EFT product is that it will be a USDT (Tether) dominated product. The project aims to highlight the presence of non-fungible assets in the industry, starting with major projects like the Bored Ape Yacht Club collection.
The long-term goal for KuCoin’s EFT is to increase liquidity as it authorises the exposure of NFTs by using USDT or Ether (ETH). Another key benefit of the EFT is to erase the risks and doubts associated with trading NFTS, notably the NFT ecosystem’s smart contracts, wallets, and major marketplaces like Rarible and Opensea.
NFTs In KuCoin’s ETF
The aforementioned Bored Ape Yacht Club is the most popular of the NFT collections listed and will be traded under the symbol of hiBAYC. In addition, the investment will extend to cover other significant projects such as CryptoPunks (hiPUNKS), hiSAND33, hiENS4, and Koda NFTs.
As of today, it’s only the hiBAYC project available, though the product will add hiPUNKS on the 4th of August 2022. An exciting time for both KuCoin and those involved in these NFT collections, as it will increase the reach and security of these projects and make it easier for investors to get involved in NFT investments.
Johnny Lyu, the CEO of KuCoin, weighed in on the project's launch, stating that “KuCoin will continue to offer a user-friendly product for investors allowing them to easily participate in NFT investments.”
Lyu discussed the importance of the EFT, as it marked the first centralised crypto exchange to support NFTs and EFTs, allowing users to trade quickly and invest in some of the most innovative and exciting NFTs directly through the KuCoin exchange.
Given that the crypto market is experiencing a turbulent time, as are all nearly global markets, it’s no surprise to see NFT trading slow down. However, the NFT industry has continued to develop and is expanding rapidly. Products like KuCoin’s EFT will help to have a positive impact and further contribute to the mass adoption of NFTs.
