Ethereum NFT production falls to all-time low in September

Ethereum NFT production falls to all-time low in September

NFT production on Ethereum fell to an all-time low in September, as the floor prices of blue-chip NFT collections continued their decline.

Non-fungible token (NFT) production on Ethereum, or the value of the primary sales generated from NFT minting, fell to an all-time low of US$17.55 million in September, down 12.4% from US$20.05 million in August, according to Forkast Labs data.

NFTs are blockchain-based digital assets that can provide information on digital ownership. Notable collections like the Bored Ape Yacht Club (BAYC) were trading at a floor price of 128 ETH (US$211,000) in May 2022, before dropping more than 60% along with other notable NFT collections like CryptoPunks, which fell 60.4% to 45 Eth (US$72,727), from an all-time high of 113.9 Eth (US$184,080) recorded on Oct. 9, 2021.

“Blue-chip NFT collections such as Bored Ape Yacht Club and CryptoPunks serve as indicators of broader NFT market sentiment. Their decline might signify a shift in investor sentiment, perhaps questioning the intrinsic value of such assets,” Matan Doyich, the chief executive officer of Crypto Index, a firm building centralized infrastructure for tokenized crypto exchange-traded funds, told Forkast.

Reflecting the overall NFT bear market, the Forkast ETH NFT Composite, an index that measures the performance of the top 250 NFTs in the Ethereum blockchain, fell 48% year-to-date to an all-time low of 715.22 points recorded on Sept. 28.

NFT production on the Polygon blockchain fell to a seven-month low of US$4.7 million in September, down from a yearly high of US$14.44 million in August. Polygon NFT production is up 219% year-to-date, from US$1.47 million in January. Despite the rising numbers, the Forkast POL NFT Composite fell over 46% year-to-date.

The overall NFT market slump, along with the decrease in NFT production, can be attributed to a loss of interest by NFT investors, according to Anndy Lian, author of NFT: From Zero to Hero.

“The NFT market was driven by a lot of hype in 2021. However, this has died down in recent months, as people have become more realistic and choosy about the kind of NFTs they want,“ said Lian.

NFT services revenue on Ethereum, or total marketplace fees and creator royalties from secondary sales, fell 84.4% year-to-date to US$6.01 million in September from US$38.74 million in January according to Forkast Labs data.

At OpenSea, one of the world’s largest NFT marketplaces, the protocol’s monthly NFT trading volume fell 31.8% to US$76.79 million in September from US$112.74 million in August, according to data from The Block.

Blur, OpenSea’s rival marketplace, had its trading volume fall 38.3% to US$150.42 million in September, down from US$243.92 million in August.

“To reignite interest in NFTs, the industry needs to see and demand innovations that go beyond digital art and collectibles, such as incorporating NFTs into more substantial real-world applications,” Doyich told Forkast.

This year brought new use cases for NFTs, which will be needed to drive institutional investors, according to David Tng, managing director at TZ APAC, the Asian entity of the Tezos blockchain.

“NFTs will rely on the same pain point of needing to prove their utility, especially against the backdrop of a very volatile market. However, we are still seeing rapid growth and innovation. Enterprises and artists continue to use NFTs as a platform to explore, create and engage with their audiences,” wrote Tng, in a statement shared with Forkast.

Despite the market slump, globally recognized brands continue adopting NFTs. Starbucks launched an NFT version of its iconic pumpkin spice latte last Thursday, to commemorate the 20-year anniversary of the iconic drink. The NFTs worth US$20 have no minting limit and users will receive 250 bonus points that can be spent to improve their Starbucks Odyssey experience, which is the company’s Web3 rewards and loyalty platform.

 

Source: https://forkast.news/ethereum-nft-production-falls-all-time-low-september/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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Monthly NFT sales fall below US$1 billion for first time in 12 months

Monthly NFT sales fall below US$1 billion for first time in 12 months

Crypto industry sales are slumping, but it’s not just hedge funds and lenders that have been hit hard by the crypto winter. The NFT industry has also begun to feel the chill.

The troubles at crypto hedge funds and lenders were a center of attention in June, but business in the non-fungible token (NFT) market also got hit, with monthly sales dipping below US$1 billion for the first time in 12 months, according to NFT data aggregators CryptoSlam.

For context, June last year was the same month that Axie Infinity exploded in popularity, putting NFTs and play-to-earn gaming on the map in the process.

Plummeting crypto prices share some of the blame for the poor NFT sales, but unique monthly buyers in June also fell almost 50% from a high of more than 1 million in January and now stand at less than 600,000 for the first time since July 2021.

In another telling sign, the floor price for a Bored Ape Yacht Club — one of the biggest NFT collections — fell below US$100,000 for the first time in over a year in mid-June to a low of US$86,277. That’s almost an 80% plunge from a high of more than US$400,000 in late May.

“The NFT market has not been immune to the crypto market (and business) turbulence and when coupled with [traditional finance] downturn — in particular the tech stocks crash — it is a perfect storm for loss of confidence,” Jonathon Miller, Australian managing director of crypto exchange Kraken, told Forkast in shared written commentary.

The 70% drop this year in the price of Ether, the world’s second-largest cryptocurrency, also influenced NFT trading, as it’s the native token of Ethereum, the most popular blockchain for hosting NFTs. Ether prices traded around US$1,055 on Monday in Asia.

However, after a volatile few weeks, crypto prices held relatively steady over the weekend, with all major coins fluctuating no more than 1% in the 24 hours through Monday afternoon in Asia.

Bitcoin held steady around US$19,300 over the weekend after dropping below US$19,000 for the first time since December 2020 on Friday to change hands at US$19,133 at press time. Amid this NFT market downturn, Kraken is set to join the likes of Binance and Coinbase by opening the waitlist for its own NFT marketplace set for full release in the next few months.

“The seeming collapse of closed book lending businesses may be viewed in the long run as a reminder that open transparent infrastructure is ultimately the foundation upon which a new wave of digital financial tools will be built,” Miller said.

“The projects and businesses that stay as true to this as possible are the ones that can weather the storm,” he said.

Another way NFT marketplaces or exchanges can stand out from the crowd is by specializing and offering unique services, for instance by focusing on sports-based NFTs, according to Anndy Lian, Chief Digital Advisor, Mongolian Productivity Organization, and a blockchain author.

“I think the NFT market could recover faster than the crypto original market,” said Lian, highlighting partnership deals between Binance and Portuguese soccer player Cristiano Ronaldo as a sign of what’s to come.

“All these moves, which cost perhaps hundreds of millions, are telling us that this will be a big strategy,” he added. “We cannot just depend on what you see in crypto native; you need to bring in new blood.”

Original Source: https://forkast.news/monthly-nft-sales-below-1billion-12-months/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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Crypto On Feb 3: Market Turns Red Once Again; Experts Say It’s Time For Careful Investments

Crypto On Feb 3: Market Turns Red Once Again; Experts Say It’s Time For Careful Investments

KEY POINTS

  • Bitcoin, Ether plunged
  • Meme cryptos slid
  • Market cap goes down

The cryptocurrency market turned red Thursday after two consecutive days of gains. The global crypto market cap was down 5.18% at $1.68 trillion as of 4.15 a.m. ET.

Bitcoin was down 3.64% at $37,045, CoinMarketCap data showed. Ethereum too plunged 3.44%.

Barring a slight uptick in the USD Coin, all of the top 10 tokens on the crypto chart were trading lower. Solana, Terra LUNA, Polkadot shed up to 10%.

Meme cryptos Shiba Inu and Dogecoin plunged too.

“The reason for the red and dips become more serious after the Fed meeting. The uncertainty outcome from that meeting is lingering in many heads. Adding on to the uncertainties is the recent 30 percent tax in India. This again added more stress to the market,” Anndy Lian, Chairman, BigONE Exchange told International Business Times.

“This kind of dips would remain there for some time. Crypto retail investors will be more careful in their investments in the next few months. Watch out for moves from institutions, that can be an indication for changes,” Lian added.

Adding to the uncertainties, the financial results of Meta came out Wednesday which has shown a significant slump in its virtual business vertical. Facebook’s parent company valuation dipped by almost $200 billion on Wednesday, which, according to experts, may have spooked the crypto market as well.

“We will have to wait and watch if Meta’s NFT and digital asset strategy takes off as expected,” Charles Tan, Head of Marketing at Coinstore told International Business Times.

In other news, hackers have stolen more than $320 million from one of the most popular bridges linking the Ethereum and Solana blockchains Wormhole.

The crypto market is extremely volatile and experts recommend investors not make decisions based on the sudden shift in prices.

 

 

Original Source: https://www.ibtimes.com/crypto-feb-3-market-turns-red-once-again-experts-say-its-time-careful-investments-3389484

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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