Breaking News
Get 40% Off 0
Is NVDA a 🟢 buy or 🔴 sell? Unlock Now

Nearly 95% of NFTs are now worthless, report says

Published Sep 21, 2023 07:37AM ET Updated Sep 21, 2023 08:00AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
Nearly 95% of NFTs are now worthless, report says

Crypto.news - Almost 70,000 collections of NFTs now have no market value, dappGambl estimated in a recent report.

The non-fungible tokens (NFT) market is going through hard times, as 69,795 out of 73,257 digital collections have a market cap of 0 Ethereum (ETH).

According to a report by dappGambl, only 20% of the identified collections have full ownership. It means nearly 80% of all NFT collections “have remained unsold.”

“This situation is telling of a significant imbalance between the creation of new non-fungible tokens (NFTs) and the actual demand for these digital assets in the current market landscape.”

dappGambl

The report doesn’t specify which NFT collections have been overviewed but says NFT Scan provided the data. The firm believes that many NFT collections face difficulties with adoption due to the lack of clear use cases, compelling narratives, or genuine artistic value.

As per dappGambl’s estimations, around 195,699 NFT collections have no apparent owners, while the energy required to mint these digital tokens is comparable to the carbon footprint of 4061 passengers flying from England to New Zealand.

The chart of NFT collections grouped by their floor price | Source: dappGambl

DappGambl also found that slightly more than 40% of the top NFTs have a floor price between $5 and $100, while 18% of digital collectibles have no price. Only less than 1% of NFTs have a price tag of over $6,000, the report pointed out.

Analysts at dappGambl say the data show that the NFT market is now mainly controlled by “speculative and hopeful pricing strategies that are far removed from the actual trading history of these assets.”

Current state of NFT market

The market has seen better days as many NFT-related startups have faced difficulties recently.

For example, Glass Protocol, a video platform startup, has recently suspended its development, citing a lack of “sustainable demand for video NFTs.” Another NFT startup Voice, initially planned as a decentralized social media network, also stopped offering its services amid regulatory roadblocks.

Dovey Wan, the founder of Primitive Ventures, said in a recent X post that the market crisis has also hit crypto unicorns. He hinted that OpenSea is now seeking fresh capital at a $1.2 billion valuation marketplace, down 90% from the $13 billion it had in early 2022.

This article was originally published on Crypto.news

Nearly 95% of NFTs are now worthless, report says
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.
  • Any comment you publish, together with your investing.com profile, will be public on investing.com and may be indexed and available through third party search engines, such as Google.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email