Upgrading your backpack in Coral Island will help you carry more items. This is exceptionally useful for when you’re going fishing around the island, or for when you unlock the mines and start mining for ores. Like Disney Dreamlight Valley, having more room in your backpack means carrying around more items before you have to make a trip home and dump everything in a chest.
When you first start off in Coral Island, you’ll have your toolbar as well as a total of five spaces in your backpack. The first upgrade for the backpack can be purchased early on, though, and once done, you’ll be able to stuff up to 20 different things in your backpack (and toolbar) when you’re out exploring the game world.
To purchase the backpack upgrade and add more space to your bag, all you need to do is wait until you receive a letter in the mail from Sam that he’s received a new item at the General Store. Once you receive this letter—it should arrive within the first few days on the island, around the fourth of Spring—head over to Starlet town and locate Sam’s General Store on the map.
The General Store isn’t hard to find, and once located, head inside and make your way up to the counter where Sam is waiting. Speak with Sam and he’ll give you the option to “Upgrade Bag.” This will cost you 500 coins, so if you’re running low on the required amount, make your way around the different places on the island and catch some fish.
Once you’ve chosen “Upgrade Bag,” Sam will expand your inventory for the first time. At this point, you’ll be able to carry up to 10 items in your toolbar and another 10 within your backpack itself.
You can also upgrade your bag a second time by spending 3,500 coins. This will upgrade it to a total of 30 item slots.
Of course, upgrading this second time is going to require some saving, so you’ll probably want to craft some Makeshift Chests in the meantime. These are easy to craft, though, and only require 25 Wood and 10 Trash to make. Once crafted, throw down the chest somewhere on your farm, and you can start stashing items within it.