Blockchain News

NFTs are 94% worthless and also up over 52,000%

Last week, mainstream media was abuzz with the revelation that approximately 95% of non-fungible tokens (NFTs) are worthless. However, those well-versed in the NFT domain weren’t surprised. With seasoned insights into market dynamics, they’d witnessed the cyclical nature of the NFT industry.

During hot market periods, which typically last a few weeks (or even months at the start of the year), NFTs experience a surge in value. But, as these cycles end, most NFTs become illiquid, only to be overshadowed by fresh releases in the subsequent process. Hence, the assertion that roughly 95% of NFTs plummet in value between processes is hardly a shock. Moreover, as the NFT supply burgeons, this percentage is set to escalate.

However, a larger story overshadows this “95% worthless” angle: the evaporation of nearly 94% of the market’s value. Consider this: would the performance of a few underwhelming stocks represent the entire stock market’s health? Not. Similarly, assessing the top 500 NFT collections (analogous to the S&P 500 for stocks) offers a more accurate reflection of the NFT market’s vitality. And according to this metric, the NFT domain has witnessed a staggering 94% dip since its zenith in 2022.

Despite this decline, perspective is essential. Comparing data from 2020 with the yet-to-conclude 2023, we observe a tremendous uptick in unique buyers (10,100%), sales (31,837%), and total transactions (52,304%). However, trade profits have plummeted by a whopping 64,999%. Yet, most aficionados haven’t exited the NFT arena. The overarching sentiment remains bullish about NFTs’ transformative potential.

Indeed, there’s a paradigm shift in the discourse around NFTs. While the NFT ecosystem’s value has diminished from its apex, its revolutionary potential remains intact.

A snapshot from last week reveals a stabilization trend in the NFT market. Sales figures closely mirror the activity levels of May- June 2021. The imminent milestone is reaching the early 2021 sales bracket of US $ 30 million to US $ 55 million.

In recent developments, notable NFT collections, including DraftKings, DMarket, Gods Unchained, and Sorare, dominated the sales charts, accounting for roughly 30% of the previous week’s total NFT trade volume. Meanwhile, Ethereum retained its crown as the NFT kingpin, overshadowing combined sales from the other top ten collections, totaling just above US$38 million.

Lastly, while new proposals like changes to the Bitcoin Ordinals numbering system stir debates, one fact remains evident: the NFT realm, with its ups and downs, continues to captivate enthusiasts globally.


Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Crypto is not a legal tender and is subject to market risks. Readers are advised to seek expert advice and read offer document(s) along with related important literature on the subject carefully before making any kind of investment whatsoever. Crypto market predictions are speculative and any investment made shall be at the sole cost and risk of the readers.