NFT marketplace Rarible received CoinFund’s undisclosed investment in the transition to community governance.
New York-based crypto investment firm CoinFund has made an undisclosed investment into the digital art-focused non-fungible token (NFT) marketplace, Rarible.
The funds from the pre-seed round will be used to develop a “community-governed” NFT marketplace, according to a Rarible announcement from September 8. The Rarible platform launched earlier this year and this week started issuing its RARI governance token — with RARI doubling in price since trading began on Uniswap 24 hours ago.
Rarible predicts that the NFT sector will see a 50% growth in capitalization to tag a $315 million market in 2020.
In a blog post from CoinFund announcing the investment, the firm predicts that “all digital content is going on-chain” — emphasizing the “staggering diversity of online digital content that can be placed on a blockchain in the form of NFTs.”
CoinFund argues that it is reductionist to understand NFTs “as a tokenized digital content itself,” describing non-fungible tokens as liquid expressions of intellectual property rights for all forms of digital content.
The firm, for instance, points out that the difference between “taking a photograph of the Mona Lisa” and “actually owning the masterpiece of Leonardo da Vinci” is that someone with a photo can not charge $10.2 million in annual admission fees to view it.