South Korean blockchain platform Klaytn may even see its domestic dominance dwindle down if it cannot keep up with competitors like Polygon.
South Korea’s nonfungible token (NFT) space has quickly expanded throughout 2021 junction rectifier by the expansion of crypto and NFT services offered by Kakao, however competitors are getting into the fray.
The NFT market in South Korea might be on a path for even a lot of enlargement following the November. 5 government ruling that NFT purchases won't incur taxes.
Klaytn, the blockchain developed by Korean school startups Kakao and GroundX, is that the obvious 1st alternative for Koreans sorting out a network to shop for and sell NFT’s.
Klaytn’s market dominance in Choson is unmatched as KakaoTalk, Kakao’s flagship merchandise suite, has over 52 million active users and integrates Klaytn’s Klip crypto billfold directly into its mobile app.
Sangdi, CEO from Spoon, an NFT creator platform primarily based in South Korea, told Cointelegraph that, “If KakaoTalk pushes them, normal people that haven't encountered cryptos can become at home with them and [they will] settle for NFTs as a culture.”
Additionally, Klaytn is one in all solely 3 blockchains supported by the OpenSea NFT marketplace. Kakao’s own Krafterspace NFT minting service has announce over 37,000 NFTs purchasable on OpenSea, and nearly 7,000 of them have already been purchasedt.
Korean NFT creators are aware that the platform on Klaytn has been bespoke for Korean collectors, its target market. Sangdi additional that “we are aiming for the Korean market 1st, then the world market. i believe presently Klaytn will help us to focus on Korea”
As South Korean NFT collectors become a lot of acquainted with international NFT trends, alternatives like Ethereum layer 2 scaling network plane figure gift a possible threat to Klaytn’s dominance.
Polygon is that the second of 3 networks supported by OpenSea, creating it a comparatively acquainted platform for Korean NFT collectors. It conjointly supports a sturdy NFT market that some Korean comes notice a lot of appropriate for his or her international business model.
Jisoon Lim, CEO of 3PM, a music-centric NFT curation and business platform, deployed the platform on plane figure rather than Klaytn. Despite being primarily based in Choson, Lim explained to Cointelegraph that plane figure was the best alternative for the project.
Korean NFT enthusiast Karl Hyun conjointly feels that plane figure is healthier fitted to the NFT market than Klaytn. though his favorite collections don't seem to be primarily based in South Korea, he feels that Ethereum-based layer 2 solutions are best to assist increase the world reach of NFTs.
Speaking to Cointelegraph, he said, “Polygon as a layer 2 operates best by being integrated with Ethereum, however isn’t Klaytn nearer to AN freelance aspect chain?” before adding, “Since plane figure is predicated on Ethereum, the simplest thanks to increase measurability of NFTs whereas minimizing centralization is to go to polygon.”
(Brian Newar, Cointelegraph, 2021)