Apple is looking to allow non-fungible token sale (NFT) apps to be featured on the App Store. The iPhone maker is expected to charge a 30% fee on all NFT transactions that occur on apps available through the company’s app store. This request from Apple has been met with resistance from members of the NFT community. Recent media reports have stated that under such circumstances, NFT’s Magic Eden marketplace has decided to withdraw its App from Apple’s App Store.
Apple is facing backlash from the community even though it has offered to cut the commission to 15% for NFT the platform earns an annual revenue of less than 1 million dollars (approximately Rs. 8 crore).
By industry standards, NFT market commissions are typically around 2.5 percent, making Apple demand for 30 or 15 percent commissions seems overpriced.
Apple says NFT programs can only sell NFTS through in-app purchases, forcing many startups to restrict mobile functionality because of a 30% transaction fee. # finance pic.twitter.com/nY8fTB8Bq5
– Chen wen (@ chenwen520_wen) September 24, 2022
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“…A typical NFT market would take a 2-3% commission. However, according to a new report from The Information, Apple is looking for a whopping 30% commission from any NFT transaction. done through iOS apps.”
-:drop_of_blood ::skull: AMERICAN RADASS (@MERICAN_RADASS) September 25, 2022
In response to Apple’s command, Epic game CEO Tim Sweeney insisted that “Apple must be stopped”.
Now, Apple is killing all the NFT app businesses it can’t tax, crushing another nascent technology that could compete with the overpriced in-app payments service. Apple must be stopped. https://t.co/4KChp6jtFZ
– Tim Sweeney (@TimSweeneyEpic) September 23, 2022
Due to Apple’s huge commissions, NFT marketplaces that want to rely on the App Store for visibility have limited functionality on their platforms to avoid fees.
While Apple has yet to comment on whether it will revise the commission cut, there are NFT players who don’t mind paying the price to expose their platform to over a billion Apple users. all over the world.
“Everybody is focused on Apple wanting a 30% cut per transaction without realizing that this could put an ETH wallet in every single mobile game with 1B extra players,” said Gabriel Leydon, Director LimitBreak executives said in a tweet.
Apple has decided to allow developers to sell NFT inside games/apps. Everyone is focused on apple wanting a 30% cut per transaction without realizing that this could put an ETH wallet in every single mobile game that adds 1 billion players! https://t.co/BPJj3gD5r2
– Gabriel Leydon (FREE, PRIVATE) (@gabrielleydon) September 23, 2022
Owning NFTs has recently become a trend, with digital assets proving to be a lucrative business tool for several major brands.
A total of $260 million (approximately Rs 2,100) was received Packaging of high-end luxury brands including Nike, Gucci, Dolce & Gabbana with the sale of their NFT products.
Tarusha Mittal, COO and co-founder of UniFarm said the NFT market will be worth a whopping $231 billion (about 18,41,300 crore) by 2030 and it’s too big a business to be ignored. Utility 360. UniFarm is a multi-token rewards staking program.