The NFT space got a major boon during lockdowns of 2020 and even into 2021 after which they quickly went bust losing tons of value across the board. So much so that OpenSea once again just laid off more staff. But is the NFT market really in that bad of shape or is something else going on? In this article I want to explore the NFT space with you and take a look at some projects and what could be taking shape for the NFT market.
NFTs On Many Blockchains
NFTs where at one time strictly to Ethereum only. Everyone piled into Ethereum and Ethereum NFTs it was almost the only place to get them or at least the only place that actully had some half decent market cap behind them. This sparked massive transaction fees on trades. Personally I remember paying $40-$50 on average with an all time high of $75 worth of Ethereum at the time.
That has however changed since. Primarily it was Polygon a layer two option of Ethereum to help reduce fees that took the spotlight and started to take some of the market cap. But there are plenty of others now active.
That has expanded even further now into Avalanche, BNB and one of the hottest that I'm going to touch base on again being Solana.
More Marketplaces
There's also a lot more marketplaces compared to what we had before. In the bull run there was primarily only Opensea and it was the place to go. However other options have now sprung up in popularity.
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Rarible supports Ethereum, Ploygon, Tezos and Immutable X
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NBA Top Shot Bitcoin, Ethereum, Bitcoin Cash, DAI, USDC
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Nifty was taken over by Gemini in 2019
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SuperRare is a high end NFT marketplace
Transactions
As you can see from this chart NFT trading is starting to reach close to 100 million dollars per month still a far cry from it's all time highs and about half of that from earlier this year. However one of the biggest changes you'll see is just how much is taking place on other chains now compared to Ethereum. The values are closing in on half and half.
During the bull run NFT sales reached 1 billion per month so we are now just seeing 10% of what we did in the last bull run. It's unclear if we will or would see those types of levels again in the next bull run but what we do know is that NFTs have changed over that period of time.
Solana
Solana has seen some major price jumps itself over the last few months as the NFT marketplace there has been taking off.
Up 6% today alone while the rest of the markets are pretty flat Solana has seen a massive price gain in the last month of nearly 80% gains brining it to the 7th spot in market cap rating per coin gecko.
Gaming
Yes, once again gaming is leading the charge in this industry and I have a feeling it's going to be a critical factor across all aspects. NFTs, DeFi and all those goods when it comes to crypto, web3 and decentralized ownership of assets.
Gaming has become the easiest onboarding method to a blockchain and has also sparked so much demand and transactions on these chains. As games become better producing real value and entertainment instead of just a way to make money aka P2E play to earn the space is simply going to continue heating up.
Posted Using InLeo Alpha
