Instagram Abandons NFT Initiative

Instagram has seemingly dropped its NFT features. This comes as a huge surprise to the NFT community and creators alike as Instagram had only recently launched its plans to enter the web3 space. Stephane Kasriel, commerce and fintech lead at meta, announced in a Twitter thread that the NFT features on the platform were being disabled. Kasriel said that the company is "winding down" its focus on NFTs to focus on other ways to support businesses, people, and creators. He emphasized that creating financial opportunities for Instagram users is still a top priority, although gave no clear reason as to what prompted the decision. Regardless of the reasons, it seems as though Meta's metaverse plans may not be off to the greatest start.

Instagram initially began testing the new NFT features in May 2022 with a handful of creators. At first, the features only allowed the displaying of NFTs, though this was broadened in November 2022 when users were then able to sell, mint, and trade together on the platform. Additionally, the Instagram marketplace features were introduced only four months ago. The sudden change of heart from the company has many in the NFT community confused. Many mocked Instagram's poorly thought-out plan. One creator branded the move as "short-sighted," and another accused the company of making decisions based on fear.