NFTs in 2024: Dead or Evolving?

In 2024, the conversation about Non-Fungible Tokens (NFTs) will be more active than ever. These unique and irreplaceable digital assets have seen their ups and downs. Today we’ll look at whether NFTs are dead or simply evolving.

The Rise of NFTs: A Look Back

2021 has seen an explosion of NFTs. Some factors that have contributed to this surge include:

• unique technology: NFT utilizes blockchain technology. This allows for a decentralized, trustless, and immutable record of ownership. This unique aspect was a game changer.

• Cryptocurrency Bull Market: NFT rode the wave of cryptocurrency strength. As cryptocurrency prices soared, interest in and investment in NFTs also increased.

• COVID-19 infectious disease global pandemic: The pandemic has accelerated digital adoption. As more people stay at home, digital culture has gained attention, and the popularity of NFTs has increased.

• next big wave: Following the ‘DeFi Summer’ of 2020, NFTs have emerged as the next trend in the blockchain field.

• network effect: Celebrities such as Eminem, Paris Hilton, Snoop Dogg, and Quentin Tarantino have jumped into NFTs. Their participation brought great interest to the space.
• airdrop: NFT holders continued to receive airdrops. You can find the latest NFT airdrops on our site today.

NFT Collapse in 2022

In May 2022, NFTs peaked at $1.8 billion in one-week trading volume. But the excitement was short-lived. By October, NFT sales had plummeted 90%.

major price drops

Even the best collections were no exception. for example:

• Doodles: Prices fell from $60,000 in May to $11,000 in June.
• Mibit: Prices fell from $16,000 in April to $4,000 in June.
• Cool cat: We experienced a 90% decline from January to June.

Crypto Winter Impact

The widespread cryptocurrency market slump, known as cryptocurrency winter, has dampened enthusiasm for NFTs. The ecosystem lost about $60 billion. This has led to a bearish phase and surge in discussions about NFT scams and rug pulls.

Blurred NFT

Many NFT collectors and traders claim that Blur killed NFTs. It clouds incentivized traders with massive airdrops and multiple seasons lasting over a year. The goal was to bid, list, and trade NFTs. Since it was cryptocurrency winter and the floor price of NFTs was trending downward, holders were better off dumping their assets and re-bidding to collect Blur airdrops. The result is a cascade that never ends.

One of our most popular collections”Boring Monkey Yacht Club” According to a report by Yugalabs, it has fallen from around 150ETH at the peak of the bull market to around 10ETH at the bottom of the bear market. It currently trades at around 12.4ETH.

Currently it is a battle between holders and believers vs airdrop farmers.

Signs of revival in 2023

Despite a sluggish start, NFTs showed signs of recovery toward the end of 2023. In December, NFT sales exceeded $1.5 billion.

major developments

• Sotheby’s Auction: We sold our first Bitcoin Ordinal collection, BitcoinShrooms.
• Solana vs. Ethereum: Trading volume for Solana NFTs surpassed Ethereum NFTs, excluding wash trading.

NFTs in 2024: Current trends and future prospects

Integration into games and metaverse

NFTs are finding a place in games and the metaverse. This integration can drive adoption and increase usability. You can check the recently listed airdrop campaigns in “Die last”. They reward in-game users with NFTs, which eventually lead to token airdrops.

Traditional brands using NFTs

Brands like Starbucks are exploring NFTs. In March 2023, Starbucks launched a collection of 2,000 NFTs priced at $100 each, which sold out in 20 minutes.

Smaller, more accessible projects

Instead of a few high-value collections, we’ll see smaller NFT projects with accessible prices and practical uses.

Challenges ahead

Prevents fraud and rug pulling

The NFT space must address issues of wash trading, fraud, and rug pulling to build trust among consumers.

regulatory fragmentation

Regulatory practices vary by jurisdiction. This fragmentation has made widespread adoption difficult.

conclusion

So will NFTs be dead in 2024? you’re welcome. They are evolving. The hype of 2021 may not return, but NFTs are finding new paths and applications. The journey of NFTs is not over yet, and the future holds exciting possibilities. The next wave of innovation could be just around the corner, so watch this space.

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