Why did Meta Platforms Inc. end support for non-fungible tokens (NFTs)?

Delhi : Less than a year after launching support for non-fungible tokens (NFTs) on its platforms, Meta Platforms Inc. is ending it as the cryptocurrency market continues to soar.

"We're shutting down digital collectibles (NFTs) for now to focus on other ways to benefit creators, consumers, and businesses," the social media firm's fintech head, Stephane Kasriel, tweeted on Monday.

When the speculative cryptocurrency asset skyrocketed in popularity last year, with sales of cartoon gorillas to video clips reaching billions of dollars, the business rolled out tools for creators to share NFTs on Facebook and Instagram.

The sudden bankruptcy of major exchange FTX in late 2022, however, caused a decline in the value of bitcoin and other tokens.

Three U.S. banks collapsed this week, two of which had a focus on cryptocurrencies, which made the situation worse.

"We'll keep making investments in the fintech technologies that consumers and companies will require in the future. We're investing in messaging payments across Meta and streamlining payments using Meta Pay, which also simplifies checkout and payouts.