NFT / Market Status
Last updated
Last updated
NFT (Non-Fungible Token) is a digital token with blockchain technology, a unit of data stored in a blockchain that acts like an encryption token, but unlike cryptocurrency, each token is given a unique recognition value, making it impossible to replicate and exchange. NFTs are not just transaction details, but also information on digital assets such as ownership and sales details in the blockchain It is impossible to counterfeit and falsify to store. In addition, each NFT is assigned a high identification value, so it cannot be produced in duplicate, making it impossible to replicate.
Starting in 2021, the NFT market exploded, (Dapp: Instead of a single server, the node's According to data from Dapper Radars, which trades programs that operate as distributed networks), NFT trading volume reached $10 billion in the third quarter of 2021, more than 300 times higher than the same period in 2020, and Morgan Stanley even predicted that the NFT market size would reach $150 to $300 billion by 2030.
Furthermore, the rapid growth of NFTs is driving market share and price changes in cryptocurrencies. The number of holders of NFTs in 2022 increased by 187.18% compared to 2021, reaching about 3.73 million in 2022. According to DoubleRock at the beginning of 2024, the size of the Ethereum-based NFT market (transaction volume) reached $823.7 million last month and quadrupled compared to September last year, when it hit a yearly low of $242.95 million. The volume of Ethereum-based NFTs has steadily increased to $294.28 million in October last year and $599.75 million in November.
2023 was a unique year for the NFT sector, reflecting the broader changes observed in the decentralized application industry. The year saw a noticeable drop in volume, down 49% year-over-year. However, the true story of 2023 for NFTs has been widespread adoption. Major companies in various sectors, including fashion brands, traditional Web2 companies, political parties, and game studios, have embraced NFTs. This has led to a surge in sales despite lower prices. Sales have surged 445%, with the average selling price set at around $210. That's a 91% year-over-year drop from the average $2,254 in 2022.
The number of unique NFT traders averaged 870,761 per month, a slight 0.5% year-over-year decline in 2023 that remained relatively stable throughout the year. This consistency suggests a continued level of interest in NFTs. In addition, as interest in NFT collections has increased, the number of new wallets trading and using these assets has increased by 166%.
Currently, NFTs are mainly issued by Ethereum (platform), using the platform's "smart contract" feature. Ethereum is a highly generalized decentralized computing platform that allows developers to build a digital asset market and run DeFi (Decentralized Finance) protocols such as Compound and Uniswap.
