Popular crypto exchange Coinbase launched Coinbase NFT in April of 2022 as a social marketplace where Coinbase users can buy and sell NFTs. User profiles are styled like social media bios, adding a social aspect to the marketplace that allows users to engage more actively in the NFT community. Like other NFT marketplaces, Coinbase NFT also has its own exclusive drops. Anyone can create a Coinbase NFT profile and start trading NFTs with a crypto wallet. Coinbase NFT uses WalletConnect, so all wallets supported by WalletConnect are compatible with this marketplace, including Coinbase Wallet and MetaMask.
How you make money
To make money off of NFTs, you either have to mint and sell your own or buy an NFT that you can later sell for an elevated price. You can do this either by identifying undervalued NFTs or by purchasing NFTs during major drops that you expect to appreciate in value. You can then make money by holding onto your NFT and re-selling it (often on the same marketplace) once it's gone up in value.
How Coinbase NFT makes money
Currently, Coinbase NFT doesn't charge any fees, although you will have to pay the gas fees associated with ETH transactions when you buy and sell NFTs on this platform. Coinbase makes most of its money through fees associated with its crypto exchange, so it can afford to provide a fee-free NFT marketplace. However, Coinbase NFT is currently in its Beta version, and it's possible that future iterations will incorporate transaction fees to help support the platform as it becomes more popular.
Is it safe?
Coinbase is an established crypto platform and one of the top crypto exchanges in the world by volume, so its Coinbase NFT arm is legitimate. The Coinbase Wallet is secure and trusted by crypto investors and NFT collectors alike. As a self-custody wallet, it gives you complete control over your crypto and NFT assets. If you're worried about security, there are additional security options available.