Amazon's Blockchain Experimentation: Is NFT the Next Step?

Techspace - Amazon the multinational technology company revealed plans to enter non-fungible tokens (NFT) by launching its own marketplace in April this year.

According to Yahoo Finance, that marketplace will have 15 NFT collections available on launch for US-based customers and claim the company is expected to expand worldwide. This strategy is not surprising because demand for NFT is very high and the outlook will increase popularity for those who buy it. These NFTs will be delivered to the customer and the physical thing will be delivered to the customer's doorstep. And it's not the first move in the company's history. The company like Nike has been linking NFTs with their physical products too.

The launching is not smooth and was delayed because of FTX collapse in November 2022 and hit the ecosystem. And after that, the market recovered again since 2023 based on data from DappRadar

Here is the Amazon Marketplace Have

Amazon announced the great feature of this marketplace is giving the option to link NFTs with physical goods delivered to doorsteps. Amazon shoppers can purchase fashion-oriented NFTs and get physical too like jeans, trainers, and sweatshirts based to a report

What makes interesting NFTs

NFTs have grown much last year and have been predicted still able to be a major disruption. One reason for the popularity of NFTs is their uniqueness and scarcity. Because each NFT is a unique digital asset that is verified on the blockchain, it creates a sense of exclusivity and rarity. This can make them highly desirable to collectors and fans of a particular artist or content creator.

The potential for NFTs to revolutionize ownership and distribution of digital content. NFTs allow creators to sell their work directly to fans without the need for intermediaries like galleries or record labels. This can enable creators to retain more control over their work and potentially earn more money from their creations.

Additionally, the blockchain technology that underpins NFTs provides a transparent and secure way to verify ownership and transfer of digital assets. This can help to eliminate issues of fraud or piracy that have plagued the digital content industry.

Some people are simply interested in the novelty and potential for experimentation with NFTs. As a new and emerging technology, NFTs present many possibilities for creative expression and innovation. And the popularity of NFTs can be attributed to a combination of factors including uniqueness, the potential for revolutionizing ownership and distribution of digital content, the security provided by blockchain technology, and the potential for experimentation and innovation.

Amazon and What a Strategy for NFTs Marketplace

Amazon has already been experimenting with blockchain technology in various ways. For example, the company has developed its own blockchain-as-a-service platform called Amazon Managed Blockchain, which allows customers to easily set up and manage blockchain networks. In addition, Amazon has filed several blockchain-related patents, including a patent for a system that would allow for the verification of digital signatures using blockchain technology.

Given these developments, it's possible that Amazon may see potential in the use of NFTs, which are based on blockchain technology and can be used to represent ownership of unique digital assets. NFTs could potentially be used on Amazon's existing platforms, such as Amazon Web Services or Amazon Marketplace, to enable creators to sell their digital assets directly to fans.

Is Amazon Ready to Compete in the NFTs Marketplace?

Amazon as a big company is not the first company to launch an NFT marketplace. Another big tech already starts to adopt the potential market from NFT. But the strongest from Amazon is from the system company which is e-commerce so the buyer will easier to use that system. And hopefully, Amazon will have more improvements to make this system go well.