Magic Eden, a non-fungible token buying and selling platform that handles 90% of the NFTs on the Solana network, has received a market valuation of $1.6 billion.
The company announced that it has raised $130 million in a new funding round. The marketplace plans to expand beyond the Solana ecosystem.
The investment round was led by Greylock and Electric Capital. In total, now founded quite recently, in September, Magic Eden is already valued at $1.6 billion. At one time, the world’s largest NFT platform OpenSea received approximately the same value – and also in the Series B funding round.
Magic Eden plans to use the funds raised to expand its market presence and explore multi-chain opportunities.
“We believe NFTs are the best way to get people on the blockchain. It is an exciting social and cultural experience that provides a connection to the world. We have made a conscious decision to support both our creators and users in this momentous era of growth for our company and the industry as a whole,” said CEO Jack Lu.
Magic Eden currently handles 90% of the NFTs on the Solana network. The platform successfully competes with OpenSea. According to Lu, the company does not make short-term plans, so the current situation does not affect its strategic decisions – despite the fall of 80% of SOL and ETH cryptocurrencies, the main ones for buying and selling NFTs. The platform focuses on a long-term perspective of ten years or more.
Earlier, the Central Bank of Taiwan issued a warning about the speculative nature of NFTs and the dangers of investing in an industry where many digital items may be counterfeit.
