Yes, NFT activity is still high

Yes, NFT activity is still high

Are NFTs losing their hype? Is the bubble about to burst?

Despite somewhat decreasing enthusiasm in the media these days, the numbers are reassuring.

A recent Chainalysis report analysed NFT-related activity from several standpoints:

? Trade volume

Despite its dramatic fluctuations (spikes related to the launches of the Mutant Apes in August’21 and then LooksRare marketplace in January’22, both followed by a dip), it looks like NFT trade volume is actually growing.

In the first 4 months of 2022 users have sent to NFT marketplaces over $37Bn, while “only” $40Bn were sent in all of 2021. The 2022 volume could be revised downwards due to wash trading on LooksRare, but it is unlikely to change the overall trend, OpenSea alone generating $3Bn in April.

?‍?‍? Number of users

More and more people trade NFTs: in Q1 2022 over 950k unique addresses bought or sold an NFT – the highest number ever and 51% more that the previous quarter’s count.

?️ NFT collections

Weekly number of NFT collections on OpenSea has grown consistently in the last 12 months: from around 200 to above 4’000 today.

? NFT transaction size

Not all NFTs make the headlines, with almost 90% of the transactions remain below $10k – and this is a good thing, showing interest beyond the tight ring of insiders.