3 mins readNFTs are cool. They first got famous in early 2021. Digital creators found success. Some sold art for millions! Even Beeple became well-known. But, things have changed. People don't talk about NFTs as much now. They've lost some steam.
The numbers prove it. Think about this. In August 2021, NFTs traded $1.8 billion each week. But today? Only $73 million. That's a lot less!
A painting of a Bored Ape at the NFT LA conference in Los Angeles on March 31
The NFT Boom is Over, Or Is It?
Is the NFT boom over? Some people think so. It's part of a bigger trend. They believe a comeback is hard. But, others still back NFTs. They're hopeful. They see the potential.
Take this example. There's this group called World of Women. They hosted a chat on Monday about NFTs. During the chat, NFT creators shared stuff. They talked about what they're doing.
No one can say for sure what's next for NFTs. Maybe the boom is over. But maybe it's just changing. Change can be good! New ideas can bring new success. For now, we'll have to watch and see. NFT creators are still innovating. They're finding new paths.
Why Did This Happen?
What caused it? How do we bounce back? It's a big mystery. Let's try to solve it.
Too Many NFTs?
One reason: Market saturation. Lots of NFTs everywhere. And then, frauds and scams. These created fear. Doubt grew. Uncertainty spread. The market suffered.
Giant Crypto Firms Collapse
Another cause: Crypto firm failures. In May 2022, Terra crypto coins faced disaster. TerraUSD and LUNA, two currencies, lost nearly all value. A whopping 99%! Investors lost over $60 million. Such events shook the foundation. The NFT market crashed.
Another Crash in November
Then, it happened again! November 2022 saw another crash. This time, the crypto exchange FTX was the problem. Floor prices plunged, losing more than 30% value.
NFT Gaming and NFT Adventures Shows Might Be the Next Hit
On the other hand, gaming with NFTs is huge now.
In July, it received around $297 million in funding. The Martian Premier League (MPL) is one team growing in NFT gaming. To join MPL, users mint an MPL NFT. They enter the virtual Mars gaming world. They must build their own football team.
Eleanor Nugent, MPL's founder, talked about NFTs in an X space. She said, "Without the sense of ownership from NFTs, our 'why' for the market wouldn't be strong." The floor price for an MPL NFT is 0.011 ETH (~$19).
NFTs have uses outside gaming too. Maya Spirits uses NFT mints to support causes. They champion gender equality and environmental protection in Mexico through donations.
Coming from 7 years hands-on research, the estimate is that the Maya Spirits NFTs can provide the local families with 34 years of salary in one trench.
Maya Spirits NFTs show local children's influence. Around 70% of NFT proceeds are donated. 20% goes to development initiatives. The last 10% covers travel costs. Liam Scully, Maya Spirits' co-founder, talked about it on the X space.
Maya Spirits will partner with Art Blocks. Art Blocks is a platform connecting artists and blockchain technology. They will launch the next NFT mint together.
Scully said, "These drops will be limited in supply. To access them, you must hold a Maya Spirits NFT." Maya Spirits NFTs trade at a floor price of 0.015ETH (~$26).
Final Thoughts
NFTs are in a state of flux, going through highs and lows. With new uses and innovations, they could rise again or evolve in unexpected ways.
Stay alert!
