CandleFocus

Welcome to the afterlife: 96% of NFT collections considered ‘dead’

Author: Content Editor
A recent report on the state of the non-fungible token (NFT) market in 2024 reveals that 96% of the existing 5,000 NFT collections are considered "dead." These collections have zero trading volume, no sales for more than seven days, and no activity on social networks. The average lifespan of collections is 1.14 years, which is significantly shorter than traditional crypto projects. Additionally, the NFT market saw a record number of collapses in 2023, with almost 30% of projects falling into the "dead" category. The report also highlights the most profitable NFT collection to date, the Azuki project, which increased the investments of token owners by 2.3 times. On the other hand, the most unprofitable collection, Pudgy Penguins, experienced a 97% drop in value. The report emphasizes that the NFT market has declined, and investors should exercise caution. It also suggests that NFT creators should reconsider their approach to project implementation. Furthermore, the report mentions examples of significant losses in the NFT market, such as pop star Justin Bieber's NFT purchases, which saw a 94.7% decrease in value. The report concludes by mentioning the challenges faced by OpenSea, once the largest NFT marketplace, including regulatory issues, increased competition, and allegations of discrimination. Despite these challenges, OpenSea remains hopeful that a new business model will help it overcome difficult times.

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