NFT market smashes previous volumes and values to set new records.
While we’ve seen some incredible records being set at the Olympics this year, the non-fungible token (NFT) market has been breaking records of its own.
Still not sure what an NFT is? Have a quick read to get up to speed on all you need to know about NFTs here.
According to Nonfungible.com market data, NFTs saw total sales volumes and average prices both topping previous records, raking in around $208 million in a 7-day period.
OpenSea, the largest NFT marketplace, recorded its highest daily sales volumes of $35 million on Saturday 31 July and $49 million on Sunday 1 August 2021, respectively.
Source: OpenSea (screenshot on 4 August 2021)
Fuelling these volumes are the sales of the increasingly popular CryptoPunks digital collectables, which have consistently achieved top sales prices and reached a top-end average sales price of 54.1365 ETH (roughly $135,000) on Thursday 29 July.
Source: Bitstocks Twitter #BitstocksBytes
Art Blocks Curated is another collection of digital collectables that did well on the OpenSea platform. The total sales peaked at 603 on Saturday 31 July, with an average price of 8.1216 ETH (approximately $20,000).
Another contender in the NFT market breaking records on the weekend was Bored Ape Yacht Club (BAYC). Their digital collectables hit an all-time average high price of 11.2614 ETH (roughly $29,000) on Sunday 1 August.
While the podium places in terms of highest average sales values seem to be reserved for the digital arts (for now), we must consider how incredible early on we are in terms of the introduction of NFTs. There’s enormous room for this market to really stretch its legs, as the blending of tangible and intangible assets presents innovative opportunities for practically any industry.
Another consideration is how NFTs are linked to a wildly volatile market - being predominantly the Ethereum blockchain. Ethereum’s notoriously high ‘gas’ fees (transaction costs) could hinder the adoption of higher sales volumes, especially on lower-cost items. Their proof-of-stake approach also leaves some questions unanswered around the decentralisation of the chain.
Fortunately, there are alternatives such as the Bitcoin SV blockchain, which has nominal transaction fees and is primed for massive scaling too.
All that being said, the NFT market is an interesting and incredible one to watch, and as a company, we’re excited to be positioning ourselves to be actively involved in bringing more stability and maturity to this space. Stay tuned!