A NFT marketplace, Magic Eden, is introducing “compressed NFTs” (cNFTs) on the Solana blockchain. These cNFTs are special because they store data more efficiently, thereby reducing costs for both creators and buyers.
Magic Eden believes cNFTs are perfect for creating various digital collections, such as those for games, music, events, or virtual worlds. Lower mint costing make it more accessible for people to get into NFT space without risking a lot of money.
Creating cNFTs on Solana is cost-effective, allowing the minted of up to 1 million NFTs for just $110, a significant contrast to Ethereum based NFTs, which can be much more expensive.
However, it’s crucial to be cautious when storing NFTs off the blockchain. A 2022 incident involving NFTs stored on the FTX platform, which faced issues due to bankruptcy, serves as a reminder to ensure the safety and value of your NFT investments.
The introduction of compressed NFTs by Magic Eden on the Solana blockchain is a promising step toward democratizing NFT collecting by reducing costs and increasing accessibility.