A CryptoPunk from the Ape Punk collection was sold for roughly $1.5 million as the broader non-fungible token market continued to struggle amidst waning demand.
According to CryptoPunks Bot, CryptoPunk 6915, one of the 24 rare Ape Punk, was acquired for 620 ETH (around $1.48 million) by an anonymous collector identified by “0x8bbccd.” The NFT is one of just 24 other Ape Punks issued on the Ethereum blockchain by Larva Labs.
Data from Cryptoslam indicates that the Punk 6195 was initially acquired for just 3.5 ETH ($2455) in late December 2017. The recent transaction marks a 59,390.10% profit. The seller, identified as “0xe38ee2,” also sold CryptoPunk 9479 for 35 ETH (approximately $82,466.39) moments after the Ape Punk changed hands.
CryptoPunk 9368, one of the 88 Zombie Punks, marked the second-highest sale for the collection on Sep. 5, selling for 310 ETH ($734,179). Interestingly, the Punk has already received an offer for 1500 ETH, but the deal is yet to be closed. If the sale transpires, it would mark the highest CryptoPunk sale since March.
CryptoPunks are currently the most valuable NFT collection, with a 24-hour sales volume of around $1.68 million. However, the recent sales are far from the most valuable NFT transaction for the apex collection.
In March 2024, CryptoPunk 3100 was sold for $16.03 million worth of ETH, while CryptoPunk 7804 was sold for around $16.42 million just weeks later. These, however, pale in comparison to CryptoPunk 5822, which was sold for 8000 ETH ($23.7 million) in February 2022.
The $1.48 million sale has sparked fresh optimism within the NFT community, with many influencers exuberantly claiming that NFTs are making a powerful comeback.
CryptoPunk #6915 just sold for 620 ETH over $1.48M
Despite the recent uptick in activity, the NFT market has struggled over the past month, fueled by dwindling sales and buyer exodus. At the time of writing, the cumulative NFT sales volume was down 42.15%. Additionally, total NFT transactions declined by 24.48% to 7.1 million, signaling that demand for these assets has weakened.
Adding to the woes, a sudden Wells notice from the Securities and Exchange Commission aimed at NFT marketplace OpenSea has further fueled the downturn, raising concerns within the community about the potential classification of NFTs as securities.
Thị trường NFT Magic Eden đã chiếm thị phần lớn nhất vào tháng 8, vượt qua các đối thủ nặng ký khác như Blur và OpenSea về khối lượng giao dịch NFT.
Vào ngày 4 tháng 9, công cụ theo dõi dữ liệu tiền điện tử CoinGecko nhấn mạnh rằng Magic Eden đã ghi nhận khối lượng giao dịch là 122,47 triệu đô la – chiếm 36,7% tổng thị phần NFT, đưa nền tảng này lên vị trí dẫn đầu trong không gian NFT trong tháng thứ sáu liên tiếp.
Magic Eden là một thị trường NFT cho phép người dùng thiết kế, giao dịch và thu thập NFT. Nền tảng này hỗ trợ NFT dựa trên Ethereum, Solana, Polygon và Bitcoin.
Magic Eden, OpenSea và Blur kiểm soát 82% thị trường
Magic Eden lần đầu tiên chiếm vị trí hàng đầu về NFT khi vượt qua Blur vào tháng 3. Vào thời điểm đó, Magic Eden ghi nhận khối lượng giao dịch hàng tháng là 734 triệu đô la, trong khi Blur có khoảng 530 triệu đô la. Khối lượng giao dịch tăng đột biến của Magic Eden được cho là do tích hợp giao thức Bitcoin Ordinals phổ biến, vẫn phổ biến trong số những người sưu tập NFT.
Theo sau thị trường này là hai đối thủ cạnh tranh khác: Blur và OpenSea, tạo thành ba thị trường NFT lớn nhất.
Thị phần của các thị trường NFT hàng đầu năm 2024 theo khối lượng giao dịch | Nguồn: CoinGecko
Vào tháng 1, Blur có khối lượng giao dịch gần 500 triệu đô la. Tuy nhiên, khối lượng hàng tháng của nó vào tháng 8 đã giảm xuống còn 84 triệu đô la, cho thấy mức giảm 83,2% so với đầu năm. Cùng với đó, thị phần của Blur đã giảm xuống còn 25,4%, kéo nó xuống vị trí thứ hai sau Magic Eden.
Trong khi đó, OpenSea ghi nhận khối lượng giao dịch là 66,5 triệu đô la vào tháng 8, đưa thị phần của công ty lên 19,9%, tăng mạnh so với con số 9,9% thị phần vào tháng 1. Mặc dù nền tảng này dường như đã được phục hồi, nhưng kết quả vẫn còn kém xa so với thành tích trước đây khi nó còn thống trị không gian NFT.
OpenSea cũng gặp một số thách thức vào tháng 8 khi nhận được “Wells Notice”* từ Ủy ban Chứng khoán và Giao dịch Hoa Kỳ (SEC), cho thấy cơ quan quản lý có thể đang tìm cách hành động chống lại công ty này.
Thị trường NFT tiếp tục suy yếu
Vào tháng 8, doanh số bán hàng hàng tháng của NFT không chỉ đạt 374 triệu đô la. Con số này giảm 76% so với hiệu suất cao nhất của năm 2024, ở mốc 1,6 triệu đô la vào tháng 3.
Giá trị của bộ sưu tập NFT Bored Ape Yacht Club (BAYC) từng sánh ngang với những chiếc siêu xe Ferrari đời mới, nhưng hiện tại những bức ảnh JPEG hình con khỉ ngoài hành tinh này chỉ có giá trị tương đương với một chiếc ô tô điện Vinfast VF6 bản Base thuê pin.
Khi tài sản số bùng nổ trong các năm 2021 và 2022, BAYC được xem như biểu tượng của tiềm năng NFT, kết hợp giữa nghệ thuật và cộng đồng. Trong giới crypto, các Bored Ape được tôn vinh như những biểu tượng địa vị số, đứng ở vị trí tiên phong của công nghệ.
Khi Yuga Labs, nhà phát triển của bộ sưu tập, công bố những chi tiết về trò chơi Otherside sắp ra mắt (hiện vẫn đang trong giai đoạn phát triển), thị trường dành cho Bored Ape trở nên cực kỳ sôi động. Vào thời điểm đó, giá sàn của mỗi NFT đạt đỉnh 152 ETH, tương đương 429.000 USD, vào tháng 4 năm 2022.
Tuy nhiên, kể từ thời điểm đó, thị trường NFT đã đối mặt với nhiều thách thức khi sự hứng thú suy giảm và khối lượng giao dịch chạm đáy. Mặc dù Bored Ape vẫn được coi là một “blue chip” trong giới NFT ảnh đại diện, nhưng sự suy giảm này dường như không có dấu hiệu phục hồi.
So với mức giá sàn đỉnh điểm, giá Bored Ape hiện đã giảm khoảng 93%, còn khoảng 27.600 USD, theo số liệu từ Crypto Slam. Tính theo ETH, giá sàn đã giảm 91%, từ 128 ETH xuống còn 11 ETH.
Khó khăn trong lĩnh vực NFT càng trở nên nghiêm trọng vào tuần trước khi sàn giao dịch hàng đầu OpenSea tiết lộ họ đã nhận được Thông báo Wells, báo hiệu rằng Ủy ban Chứng khoán và Giao dịch Hoa Kỳ (SEC) đang chuẩn bị khởi kiện công ty. OpenSea, vốn đã hỗ trợ khối lượng giao dịch lên tới 2 triệu ETH của Bored Ape, cũng bị ảnh hưởng nặng nề bởi sự suy giảm của thị trường.
Giá BAYC đã có một đợt tăng nhẹ sau khi rơi xuống mức thấp nhất trong nhiều năm vào tháng trước. Trong đợt bán tháo toàn cầu vào tháng 8, giá sàn của bộ sưu tập đã giảm xuống còn 20.000 USD. Sau đó, giá tăng lên 39.000 USD, nhưng sau đó lại giảm về mức trước khi thị trường suy thoái.
Trong khi đó, nhiều công ty từng đầu tư mạnh vào Bored Ape cũng đã thay đổi hướng đi. Một trong số đó là Tally Labs, đơn vị đã xây dựng một vũ trụ và câu chuyện xoay quanh nhân vật Jenkins the Valet, phiên bản nhân hóa của Bored Ape #1798.
Tally Labs đã triển khai dự án The Writers Room, cho phép những người sở hữu NFT liên kết có quyền tham gia vào việc định hình các yếu tố của câu chuyện. Dự án này đã dẫn đến việc xuất bản một cuốn tiểu thuyết tập trung vào Bored Ape, được viết bởi Neil Strauss, tác giả sách bán chạy của New York Times.
Trong một bài viết gần đây, CEO Blake Chasen của Tally Labs thông báo rằng dự án sẽ ngừng phân bổ tài nguyên cho các dự án mới cũng như các dự án hiện tại. Một trong những mục tiêu chính của Tally Labs là tìm ra cách để cấp phép sử dụng NFT làm tài sản trí tuệ (IP) cho các câu chuyện chính thống.
“Tôi tin rằng sẽ có thời điểm NFT trên nền tảng ETH sẽ quay trở lại, và vai trò tiên phong của các dự án này sẽ làm chúng trở nên hấp dẫn cho các cơ hội IP mới,” Chasen viết. “Nhưng hiện tại điều đó chưa xảy ra.”
Magic Eden maintains its dominance in the NFT marketplace, holding a 36.7% market share in August with a trading volume of nearly $123 million.
Magic Eden solidified its position as the leading marketplace for non-fungible tokens in August, capturing 36.7% of the market share with a trading volume of $122.47 million, according to data from CoinGecko.
In a Sept. 4 blog post, analysts at the crypto price data aggregator website noted that August marked the sixth consecutive month that Magic Eden has led the market, further establishing its influence in the rapidly evolving NFT sector.
Top 10 NFT marketplaces by trading volume since 2022 | Source: CoinGecko
Initially launched as a Solana (SOL) centric platform in 2021, Magic Eden rose to prominence in 2022 as the second-largest NFT marketplace, capturing a 31.7% share. However, a decline in Solana NFTs saw its market share drop to as low as 3.4% in 2023, the analysts say.
The platform managed to rebound in 2024 by integrating Bitcoin Ordinals — basically NFTs on the Bitcoin network — pushing its trading volume to $734.6 million in March and surpassing its rival Blur to claim the top spot with a 38.5% share.
OpenSea’s market share falls below 20%
Blur, once a close competitor, saw its market share decline from 35.4% in January to 25.4% in August, while OpenSea, the former market leader, now holds a 19.9% share, up from 9.9% earlier this year. Together, Magic Eden, Blur, and OpenSea dominate the NFT market with a combined 82% share, the data shows.
Other platforms like the CryptoPunks marketplace and X2Y2 have also seen gains, while OKX NFT Marketplace experienced the most significant drop, from 18.4% to 2.4%, after a brief surge in late 2023. Analysts at CoinGecko say the NFT trading space has evolved from a monopoly dominated by OpenSea, which had gained a stronghold during the NFT bull run, to more of an “oligopoly in 2024 with healthier competition and diversity among NFT marketplaces.”
Coinbase, Uniswap, Robinhood, Kraken, and Consensys are the names the digital asset industry has grown used to watching receive the dreaded Wells Notices from the United States Securities and Exchange Commission. These companies are exchanges offering a wide range of tokens on their platforms, many of which are clearly investment vehicles with the promise of future profits thanks to the work of centralized teams. It would make sense for some of the offerings on these platforms to fall under the category of security.
But, last week, a new and unexpected name joined the list: OpenSea, the largest online NFT marketplace. And now hundreds of thousands of online artists feel as if they are under attack. But it is likely the true artists don’t need to worry. An NFT project for the sake of art is likely not the type of project the SEC has on its radar.
Most NFTs are not securities
The move by the SEC came as a major surprise, as most NFTs are clearly not securities—they’re just art people buy and sell. And there is a long history of people—indeed, investors—buying art that the SEC does not regulate as a security. And so, the precedent for going after OpenSea is thin.
Heretofore, NFTs have generally been viewed as a consumer product, not a financial product, stripping the SEC of any regulatory authority. Sure, there are some exceptions—such as fractionalized ownership in ventures—though OpenSea did try and keep projects promising returns off the platform.
Despite the facts, the SEC is considering a case against the NFT marketplace.
The facts are on the side of OpenSea and NFT artists
The facts of any case against OpenSea are that the platform generally allows users to buy and sell art, not securities.
There would be no precedent for the SEC to go after NFT artists. In fact, any and all of the facts speak against categorizing art in any shape or form as a security. It doesn’t make sense. Everyone knows individuals and entities buy and sell art that is not regulated as a security. Online NFTs, in most cases, follow this model.
Therefore, as far as most of the projects on OpenSea go, the SEC won’t have a leg upon which to stand when it comes to any potential legislation.
Instead, the SEC’s focus will be on NFTs promoted as investments and also offer some future profits due to the efforts of an NFT collection’s founders rather than pure artists just trying to sell their art online in a new and exciting way.
SEC precedent vs. NFTs similar to token precedents
In past SEC cases against the NFT industry, the SEC has established a clear pattern. How the NFTs had been promoted was at the heart of the case, as well as the promise of future profits thanks to the work of the NFT collection’s team.
Just like during the ICO days, when many projects made bold promises without working on tech, many non-NFT projects functioned as vaporware or vehicles by which founders attempted to raise investments. Instead of innovation, many projects were based on hype and hype alone, especially around the potential resale value of the project, which the SEC sees as a red flag.
NFT projects with royalty schemes, revenue distribution, and similar are the ones the SEC is likely after. For that reason, most NFT artists can breathe a sigh of relief, leave the fight to OpenSea lawyers, and get back to creating.
Those who are attempting more complicated NFT structures must now play a waiting game. Indeed, if there is to be a benefit of the SEC’s Wells Notice to OpenSea, it will long at least be for the possibility of regulatory clarity in the realm of NFTs.
Hyperspace, a multi-chain non-fungible token marketplace and launchpad, is shutting down its platform on Solana.
The project announced this on Sept. 3, noting that the decision to shut down its NFT marketplace on Solana (SOL) was a difficult one. Hyperspace plans to fully sunset the Solana offering by September 17, 2024, and has advised users to delist their NFTs before this date.
In addition to removing website support for Solana NFTs, the platform will also sunset its application programming interface. This will begin on Sept. 17, as the Hyperspace team posted on X.
“While it’s a difficult decision to make, we’re proud of having been a part of this vibrant ecosystem since Solana summer first started and we’re excited for all that’s to come.”
Hyperspace Avalanche and Sui NFT marketplaces
Hyperspace launched in 2021, entering the market just as the NFT boom followed the Covid pandemic. The platform boasted backing from some of the biggest crypto venture capital firms in the industry, including Dragonfly, Pantera, and Coinbase Ventures.
Despite a slowdown in NFTs in late 2021 and 2022, Hyperspace quickly grew. Apart from Solana, the NFT marketplace is shutting down on Sui (SUI).
Are NFTs dead?
In the broader digital collectibles market, projects such as CryptoPunks, Bored Ape Yacht Club, Pudgy Penguins, and Art Blocks remain top NFTs by sales and volume.
However, the NFT market has failed to see any meaningful recovery since the broader crypto market’s slump during the 2022 bear market.
A recent report suggests that nearly 96% of NFT projects are dead, with 43% of holders currently at a loss. Declines in volume amid this collapse have impacted NFT marketplaces and aggregators, including market leaders OpenSea, Magic Eden, LooksRare, and Blur.
The bear market aside, regulatory issues are also likely to be a major factor. Recently, the U.S. Securities and Exchange Commission issued a Wells Notice to OpenSea over allegations of offering unregistered securities.
Could Operation Choke Point 2.0 and the SEC’s focus on OpenSea and Custodia push the crypto industry into a corner?
Table of Contents
SEC strikes the crypto industry again…
As the U.S. approaches the upcoming presidential elections, the crypto industry once again finds itself at a crossroads.
With Democratic candidate Kamala Harris viewed by many as a potential ally, the current administration, led by SEC Chair Gary Gensler—appointed by President Joe Biden—has ramped up its regulatory actions, now setting its sights on the non-fungible token market.
On Aug. 28, the SEC issued a Wells notice to OpenSea, the largest NFT marketplace, signaling its intent to take enforcement action against the platform.
A Wells notice is a formal communication from the SEC indicating that the agency is considering enforcement action against a company or individual, and it provides them an opportunity to respond before a final decision is made.
According to OpenSea’s CEO, Devin Finzer, the SEC contends that certain NFTs on the platform may be classified as securities—a claim that could have stark repercussions for the entire NFT space.
OpenSea has received a Wells notice from the SEC threatening to sue us because they believe NFTs on our platform are securities.
We’re shocked the SEC would make such a sweeping move against creators and artists. But we’re ready to stand up and fight.
This notice arrived just a day after former President Donald Trump, who has positioned himself to be pro-crypto, launched his fourth collection of digital trading card NFTs, which included unique perks like pieces of his debate suit and exclusive experiences at Trump National Golf Club.
OpenSea isn’t alone in facing the SEC’s scrutiny. In April, decentralized exchange Uniswap (UNI) also received a Wells notice, with the SEC alleging that it was operating as an unregistered securities broker.
Other major players like Coinbase, Kraken, and Robinhood have faced similar actions in the past.
These moves indicate that Operation Choke Point 2.0—believed to be a Biden administration strategy to sever the crypto industry’s ties with traditional banking services—is still in full force. What’s really happening?
Dissecting the OpenSea saga
In his tweet, Finzer expressed deep concern over the SEC’s approach, describing it as a “sweeping move against creators and artists.”
According to Finzer, the SEC alleges that the sale of NFTs on OpenSea broke securities laws because NFTs are considered securities, and those transactions constituted sales of unregistered securities.
The CEO pointed out that this action could stifle innovation across the NFT space, potentially affecting hundreds of thousands of online artists and creatives. The crux of Finzer’s argument is that NFTs are fundamentally different from financial securities.
Finzer mentioned, “NFTs are fundamentally creative goods: art, collectibles, video game items, domain names, event tickets, and more,” arguing that they should not be regulated in the same way as traditional financial instruments.
OpenSea contests the regulator’s allegations, asserting that they do not apply and that the platform is “ready to stand up and fight.”
From student artists finding full-time careers selling their digital art to indie game developers creating open markets for their in-game items, NFTs have enabled new opportunities that would be at risk if the SEC’s actions continue unchecked.
As Finzer mentioned, “it would be a terrible outcome if creators stopped making digital art because of regulatory saber-rattling.”
Finzer also drew attention to ongoing legal battles that echo OpenSea’s plight. He referenced the lawsuit filed against the SEC by musician Jonathan Mann and conceptual artist Brian Frye, who feared that the sale of their art and music could be classified as unregistered securities offerings.
To combat the SEC’s latest move, OpenSea has pledged $5 million to support NFT creators and developers who might find themselves in similar legal battles.
Regulatory ambiguity surrounding NFTs
When it comes to NFTs in the U.S., the regulatory environment is still murky. This lack of clear rules has created confusion and uncertainty, not just for creators and buyers, but also for platforms facilitating NFT transactions.
Currently, there isn’t a specific law in the U.S. that governs NFTs. Instead, regulators like the SEC attempt to fit NFTs under existing laws, which were primarily designed for traditional financial products.
The big question regulators are asking is: are NFTs securities? If they are, they would fall under strict SEC regulations, similar to stocks or bonds. But this is where things get tricky.
According to the Howey Test, a legal standard used by the SEC to determine whether something is a security, an asset is considered a security if it involves an investment of money in a common enterprise with an expectation of profit derived from the efforts of others.
This test was originally designed for traditional investments, but now the SEC is applying it to NFTs, which are often bought for reasons other than profit, such as collecting or supporting an artist.
The main problem with applying existing regulations to NFTs is that they don’t account for the market’s diversity and complexity.
NFTs can represent anything from digital art to in-game items, each with its own unique characteristics and value proposition. Applying a one-size-fits-all regulatory approach could stifle innovation and limit the potential of NFTs.
For example, if all NFTs are classified as securities, platforms would need to comply with the same regulations as stock exchanges, which could be incredibly costly and complicated.
Smaller creators and developers might find it impossible to meet these requirements, potentially pushing them out of the market entirely. This could limit the diversity and creativity that have made NFTs so popular.
Moreover, there’s a global aspect to consider. The U.S. is just one part of the global NFT market, and over-regulation in the U.S. could push NFT activities to other countries with more favorable regulations.
The SEC’s recent actions, including the Wells notice sent to OpenSea, signal a more aggressive approach to regulating the NFT space. By potentially classifying certain NFTs as securities, the SEC is attempting to extend its regulatory reach, which could increase costs for users and reduce the number of new NFTs entering the market.
Ripple effects across the industry
The ongoing crackdown under Operation Choke Point 2.0 is sending shockwaves not only through the NFT market but across the entire crypto industry.
A clear example of this is the recent restructuring at Custodia Bank, a small yet influential financial institution based in Wyoming that serves crypto companies.
Custodia Bank, once a key provider of banking services to crypto businesses, recently announced the layoff of nine out of its 36 employees, as reported by Fox Business. This difficult decision was made to preserve capital as the bank battles the Federal Reserve in court.
At the core of this legal battle is Custodia’s pursuit of a master account with the Fed—a crucial asset that would grant the bank access to the central bank’s liquidity facilities and payment services.
Without this account, Custodia is forced to operate through other institutions that do have master accounts, leading to much higher operational costs.
Banking regulators have become increasingly cautious about allowing traditional banks to engage with crypto firms. This heightened scrutiny has made many traditional banks hesitant to maintain relationships with crypto companies, contributing to a growing sense of isolation within the industry.
Despite assurances from government officials, including Deputy Treasury Secretary Wally Adeyemo, that there is no coordinated effort to exclude the crypto industry from the broader financial system, the experiences of industry participants suggest otherwise.
Custodia Bank itself has faced this harsh reality, with two of its partner institutions terminating their relationships, leaving it even more vulnerable as it fights for survival.
The crackdown under Operation Choke Point 2.0 reflects the real-world impact of regulatory pressure on the crypto industry. Even a small, state-chartered bank like Custodia, which plays a critical role for businesses lacking other banking options, is struggling to stay afloat.
Social media backlash
The SEC’s recent move against OpenSea has sparked a wave of frustration and anger across social media, with many users expressing disbelief and concern over what they perceive as a heavy-handed approach to regulating the NFT market.
One of the most angered critics highlighted the absurdity of labeling NFTs as securities. The user questioned whether the SEC would also start classifying “paintings” or “Beanie Babies” as securities, sarcastically asking if “eBay” might be next on the SEC’s list.
Ridiculous to claim NFTs in general are securities. Are paintings securities now? Beanie Babies? Is the SEC coming after eBay next? Seriously silly. You could surely make an NFT that was a security, but you can make slips of paper into securities too (“stock certificates”).
Another user expressed disbelief at the SEC’s continued actions against the crypto industry, lamenting the agency’s measures as a direct assault on innovation.
Wow. The SEC continues to take measures against innovation.
The frustration isn’t limited to the SEC’s actions alone; it extends to the political sphere as well. One user even voiced their disillusionment with the Democratic Party.
Crypto for Harris my ass. Don’t vote Dems if you want crypto and american innovation.
Drawing a historical parallel, another user pointed out that in 1976, the SEC ruled that art galleries did not need to register as securities dealers, even when promoting and selling art as investments.
In 1976, the SEC ruled that art galleries, even when promoting and selling to buyers that had investment motives, didn’t need to register with the SEC.
The tweet wryly notes the inconsistency in the SEC’s stance, suggesting that while “galleries” were deemed acceptable, “NFT marketplaces” are not.
The growing chorus of voices on social media reflects a deepening divide between the crypto community and regulatory bodies like the SEC.
As these discussions continue, the debate over how to regulate digital assets is far from over, with many in the industry calling for more clarity and fairness.
The non-fungible token industry remained under pressure in August as sales continued falling.
Total NFT sales dropped by 41% in August to $376 million as the number of buyers and sellers fell by double digits.
Data by CryptoSlam shows that the number of buyers dropped by 29% to 127,913 while the number of sellers fell by 17% to 93,600.
Additionally, total NFT transactions declined by 50% to 7.4 million, signaling that demand for these assets has waned.
At the peak in January 2022, total monthly sales were over $6.5 billion while the number of unique buyers and sellers stood at over 1.5 million and over 1 million.
NFT sales, buyers, and sellers | Source: CryptoSlam
Ethereum (ETH) maintained its lead as the most popular chain for NFT traders, handling over $129 million in August, down by 38% from the previous month.
It was followed by Solana (SOL), which handled $78.9 million. Bitcoin’s NFT sales dropped by 50% to $57 million while Polygon (MATIC) fell by 52% to $36 million.
Mythos Chain saw an improvement in August. It handled $20 million in sales. That’s up by 14% from the previous month. Mythos was led by DMarket, whose sales rose by 17% during the month.
Some of the most popular NFTs have seen their valuation and sales drop in the past few years. For example, Bored Ape Yacht Club has moved from having monthly sales worth over $50 million in 2022 to just $11 million in August.
This sharp decline in NFT monthly volume has hurt both investors and marketplaces like OpenSea and Rarible. Data by Dune Analytics shows that OpenSea’s monthly volume in July was just $32 million, down from $641 million in January last year.
Other NFT marketplaces like Blur, Magic Eden, and SuperRare have also had weak volume and users in the past few months.
NFT sales have dropped because of the falling prices. CryptoPunks, the biggest NFT collection, has a floor price of $88,839, a 52% drop from the same period in 2023. Bored Ape Yacht Club’s floor price has dropped by 70% in the past 12 months to $29,593 while Azuki has fallen by 20%.
The top gainers in the same period were Pudgy Penguins and Milady whose floor prices jumped by 166% and 121%, respectively.
Pudgy Penguins, the viral Ethereum Non-Fungible Token collection, has defied the gloom in the industry in August.
Data by CryptoSlam and Dune Analytics shows that its key metrics performed well even as the sector came under intense pressure.
Total sales jumped by 29% in August to over $8.6 million as the number of transactions jumped by 73% to 348.
Additionally, the number of buyers and sellers rose by 73% and 39% to 176 and 205, respectively. The average number of days held also rose slightly by 5% to 85.5.
While Pudgy Penguins sales rose in August, they remain sharply lower than their all-time high of $99.2 million in August 2021. They were also lower than the March high of $26.5 million
Pudgy Penguins Get Pricey
The prices of Pudgy Penguin NFTs are also rising.
According to Dune, the floor price rose by 30% in August to 10.66 ETH and 166% from the same period in 2023. Floor price refers to the lowest price that an NFT is being sold in marketplaces.
Pudgy Penguins is one of the three blue-chip NFT collections that has seen its floor price rise in the past 12 months. Milady’s floor price has jumped by 121% while Doodles has risen by 12%.
The floor price of other popular blue-chip NFT collections like CryptoPunks, Bored Ape Yacht Club, Azuki, and Mutant Ape Yacht Club has dropped by over 50% in the last 12 months as their demand has waned.
According to NFT Evening, 96% of all NFTs have “died,” with four out of 10 holders being in loss. Additionally, the average lifespan of an NFT has dropped to 1.14 years, much lower than other crypto assets.
Pudgy Penguins, founded by entrepreneur Luca Schnetzler (aka Luca Netz), has done well even as the total sales, transactions, and NFT users have continued to fall.
Total NFT sales in August dropped by 41% to $376 million, down from an all-time high of over $6 billion.
Pudgy Penguin’s sales rose a month after the developers secured $11 million funding from a group of investors to build a layer-2 network. The funding came from Founders Fund, Peter Thiel’s venture company.
The developers have also launched branded toys that are being sold in popular retailers like Walmart and Target.
