OpenSea IPO Plans Met With Criticism From NFT Community

OpenSea IPO Plans Met With Criticism From NFT Community

Key Takeaways

OpenSea has hired a new CFO, Brian Roberts. He told Bloomberg he is planning to take the company public.
Roberts recently joined OpenSea from Lyft, the company he helped go public in 2019.
Several prominant voices in the NFT community have expressed disappointment in the move, claiming OpenSea is abandoning its users.

Share this article

Former Lyft CFO Brian Roberts has joined OpenSea and plans to take the company public, but many members of the NFT community disapprove. 

OpenSea Planning Initial Public Offering

One of the biggest winners of this year’s NFT boom looks set to host an initial public offering.

OpenSea is planning to raise funds through an IPO, the company’s new CFO Brian Roberts revealed in an interview with Bloomberg Monday. Roberts was integral to ride-sharing app Lyft’s successful IPO in 2019 and now looks set to bring his playbook to the crypto startup.


“When you have a company growing as fast as this one, you’d be foolish not to think about it going public,” explained Roberts, who also remarked on OpenSea’s impressive financial record. “I’ve seen a lot of P&Ls (profit and loss statements) but I’ve never seen a P&L like this,” he said.

While Roberts works toward taking OpenSea public, NFT collectors and artists are not taking the news well. Several prominent voices in the NFT space have taken to Twitter to express their disappointment with the move. 

Many in the crypto community had previously speculated on an OpenSea token airdrop for its users, an increasingly common practice among crypto projects. One of the most recent major airdrops involved Ethereum Name Service, which last month distributed governance tokens to those who had purchased .eth domains in an effort to decentralize the company through a DAO. 

However, now that OpenSea is planning an initial public offering, a token launch looks less likely. Instead, the company is looking to raise more funds from investors. According to Roberts, the company “doesn’t need to raise more cash” but wants to use the financing from an IPO “to acquire companies, strike partnerships, and create joint ventures to further expand the use of NFTs into new industries.”

In response, many OpenSea users and NFT collectors feel that the company has abandoned its users in favor of investors. Some have suggested that OpenSea would not be the successful company it is today without the support of its community. “Sucks to hear @opensea is selling out and doing an IPO,” a Twitter user going by the name Punk_2070 wrote. “Their VCs didn’t get them to where they are today. We did.” basedkarbon remarked that “anyone who’s had the displeasure of speaking with OpenSea community support would know that OpenSea doesn’t care about community at all.”

As the first NFT marketplace to gain mainstream popularity, OpenSea has handled the lion’s share of NFT trading on Ethereum, hitting a record transaction volume of $3.4 billion during the height of NFT mania in August. OpenSea recently partnered with the auction house Christie’s for several high-value NFT auctions from established NFT artists such as Blake Kathryn and Fvckrender. 

Disclosure: At the time of writing this feature, the author owned ETH and several other cryptocurrencies.

Share this article

The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.

You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.

See full terms and conditions.

OpenSea and Christie’s Partner on NFT Collection

OpenSea and Christie’s have partnered to auction a series of non-fungible tokens to art collectors around the world. Sale To Be Headlined by Mad Dog Jones The sale is headlined…

Ethereum Name Service Is Launching a Governance Token

The Ethereum Name Service (ENS) has announced that it will launch a governance token and accept delegate applications. Ethereum Name Service Will Form a DAO Director of operations Brantly Millegan…

OpenSea Executive Resigns Over Insider Trading

OpenSea’s head of product, Nate Chastain, left the company today after he was found to have engaged in insider trading yesterday. Head of Product Leaves Company On Tuesday, head of…

What is Rarible: A DAO for NFTs

What was once dismissed as a silly and expensive sector, NFTs give creators access to global markets in a way that’s never been possible before, and it’s all thanks to blockchain.Those familiar…

Source link


Be the first to comment

Leave a Reply

Your email address will not be published.