Magic Eden Criticized for Launching Separate Website for U.S. Users

Cross-chain NFT marketplace Magic Eden recently launched a website for its United States-based audiences. The move comes less than a week after OpenSea, another NFT marketplace, received a Wells notice from the U.S. Securities and Exchange Commission (SEC).

Today we’re announcing the new https://t.co/IX3u6TtCM1 for international users, plus https://t.co/tvWrETyYir, for users in the United States.

.US will still have great products you know and love while .IO will give us the ability to cook up (and sauté) even more features… pic.twitter.com/GKVz8fluCc

— Magic Eden 🪄 (@MagicEden) September 5, 2024

Magic Eden’s new website creation has sparked worries among community members about the platform’s adherence to blockchain decentralization and other matters.

Magic Eden’s New Website

Since its debut on the Solana network in September 2021, Magic Eden has expanded to several blockchain networks, including Bitcoin, Ethereum, and Polygon. To reach more audiences, the NFT marketplace recently launched its mobile app. The mobile app launch was accompanied by a $100,000 Mintfest for participants.

A CoinGecko report showed that these innovations have kept Magic Eden as the leading NFT marketplace for the sixth consecutive month, with a 37% market share.

The platform’s announcement indicates that international users can access digital collectibles through magiceden.io, while U.S.-based users will use magiceden.us to use the marketplace.

Although the project’s team did not reveal the driving force behind the sudden segregation, concerns about the U.S. regulatory stance could have fueled the decision. After receiving the SEC’s Wells notice, OpenSea co-founder Devin Finzer stated that a potential regulatory crackdown would severely impact NFT creators and collectors. He subsequently pledged $5 million to cover legal fees that may come from any lawsuit that may arise.

Magic Eden Community Dissatisfied

Many in its community did not embrace Magic Eden’s new website creation. Some users termed the move as a shift towards centralization. Others feared that segregating international users from the U.S. audience would prevent the latter from enjoying future airdrops.

Magic Eden’s lead team members have not commented on the matter at press time.