A study shows almost 23 million people are holding worthless assets.
Image credit: Yuga Labs | Bored Ape Yacht Club
A couple of years ago, NFTs were everywhere, it was hard to find anyone who didn't know Bored Ape, and celebrities showed off the pictures they bought for millions of dollars. But how is it going for the market today?
According to a report by dappGambl, times are dark for NFTs. The data provided by NFT Scan and CoinMarketCap showed that 69,795 out of 73,257 collections have a market cap of 0 Ether – it's 95%, 23 million people, holding worthless assets.
The research also states that people own only 21% of the collections, so 79% of them are unsold.
But what about some popular NFTs? dappGambl reports that 18% of top collections can't find demand and have a floor price of zero, while 41% are priced between $5 and $100. Moreover, only less than 1% of the popular NFTs cost $6,000, so it's not as shiny as it might seem. What's more, the situation could be even worse in reality:
"For example, MacContract on Ethereum has a floor price of $13,234,204.2, but its all-time sales are only $18. This stark discrepancy between listed floor prices and actual sales data exposes a significant issue in the NFT market – inflated valuations that don’t reflect genuine buyer interest or real-world transactions.
"Such disparities reveal a speculative nature in parts of the NFT market, where exorbitant prices can be set by sellers without any bearing on tangible, real demand."
The report concludes that the NFT market "is characterized by speculative and hopeful pricing strategies that are far removed from the actual trading history of these assets."
What do you think will happen with NFTs in the future? Will we see them grow again? Read the original report here and join our 80 Level Talent platform and our Telegram channel, follow us on Instagram, Twitter, and LinkedIn, where we share breakdowns, the latest news, awesome artworks, and more.