Magic Eden, the top Solana-based non-fungible token (NFT) marketplace, is rolling out a loyalty rewards program for NFT traders called “Magic Eden Rewards.“ The new feature will let users create a profile across all wallets and be rewarded with “Magic Points” for secondary trading on the platform.
Here’s how it works.
NFT traders receive five “Magic Points” for every 1 SOL traded. As points accumulate, users are grouped into one of five loyalty tiers. Depending on which tier a user is in, Magic Eden will reward them with unique benefits including partner discounts, NFT airdrops, and access to exclusive creative content.
The platform is also planning on introducing dynamic fee pricing into the tiering structure. This would allow users and creators to pay different transaction fee prices depending on their marketplace activity.
The move comes after Magic Eden switched to a royalty optional model in October this year, causing a dip in trading volume. But earlier this month the company released an opt-in tool allowing creators to enforce royalties, essentially rolling back the previous decision.
CEO of Magic Eden Jack Lu said that the platform wants to be a place where collectors and creators “can more deeply engage with the community.” By rewarding NFT trading, they are also encouraging activity on the marketplace.
Magic Eden Builds Despite Setbacks
Magic Eden is the most popular marketplace for NFTs on Solana — a blockchain that’s seen its native cryptocurrency SOL diminish significantly in value this year. But despite the setbacks of SOL, Magic Eden has continued to innovate. At Rarity Sniper, we’ve written several stories about the NFT marketplace recently. Here are the top three.
First, in August of 2022, Magic Eden added Ethereum to its platform, making it a multi-chain NFT marketplace. The NFTs were integrated into the platform in three spaces — its new allowlist tool, the NFT drop calendar, and the launchpad where users mint new projects.
Next, around the same time, the marketplace made a proposal to create an ApeCoin marketplace dedicated solely to trading Bored Ape Yacht Club NFTs with ApeCoin. Magic Eden said it could get the marketplace up and running by September, and that it would cut fees to as low as 0.75%.
Lastly, Magic Eden announced an integration with Polygon-based NFTs and games to grow its multi-chain vision and the blockchain gaming space. By the end of the year, Magic Eden pledged to release a launchpad and marketplace with support for Polygon and its native $MATIC token.
Despite the tough times for Solana and crypto in general, Magic Eden is determined to keep building its brand. Its latest launch of the Magic Eden Rewards program shows the company is also thinking about its community and the NFT traders that make it thrive. We’ll be following up for any new developments in the story.