Cryptocurrency Firm Kraken to Close NFT Marketplace by Early 2025

The Shutdown Decision

Leading cryptocurrency company Kraken has announced its plans to shut down its NFT marketplace early next year, a move that is set to have significant implications for the NFT space.

Closure Date and Withdrawal Details

The shutdown of Kraken’s NFT marketplace is scheduled for February 27, 2025. Starting November 27, various services such as bidding, listings, and selling of NFTs will be gradually phased out leading up to the closure. However, users will have the opportunity to withdraw their funds prior to the shutdown date.

Focus on New Ventures

A spokesperson from Kraken confirmed the decision to close the marketplace, citing the need to explore new opportunities. The move is expected to pave the way for the development of new products and services by the crypto company.

Employee Changes and Leadership

Prior to the announcement of the marketplace closure, Kraken underwent workforce reductions, trimming 400 employees. The company also appointed a new co-CEO to help steer its strategic direction.

Challenges in the NFT Market

In recent times, the NFT market has faced challenges, with a decline in performance noted earlier this year. Factors such as user demand for utility and concerns over originality have contributed to the stagnation in the market.

Despite these challenges, projections suggest that the NFT market could still see substantial growth in the coming years, with a potential market value of $2.8 billion by 2028.