According to the DappRadar analytics platform, trade volume on Open Sea, the largest NFT marketplace in the world, decreased to 99 percent in the four months between May and August 2022. To put things in perspective, NFT (non-fungible tokens) is a brand-new class of immutable, blockchain-based assets. Consider it unique rather than something you could mass-produce, like a signed jersey or a baseball card.
The decline in NFT market space is happening due to non-stability and the shadiness of the creators.
There are five significant grounds on which the decline of the crypto market is dependent.
- Low attention towards suspicious activities: The onlooker’s enthusiasm has reduced over time, leading to inadequate projects running universally in the blockchain. This has further allowed scammers to make their way among the loopholes in the market space.
- Rigorous crypto sales: There has been a collapse in the global crypto market from $1.02 trillion to $970.03 billion, which calculates to a total of 15% decrease. According to a recent observation, the most significant currencies have been trading in the red.
- Following the trend vs thoughtful sentiments: The sudden rise occurred because everyone was initially willing to join the race. However, the availability of primary digital assets for sale has lowered the interest and tendency of investors to invest. Also, a sharp price fall has made the investors sceptical about their decision.
- Ambiguous cases under NFTs: The cloudy vision of various commodities considered under NFT is the foremost reason it is only suitable for digital art and not digital assets. Digital art can be resold and still be used as an abundant source of investment. While on the other hand, a digital asset cannot be resold, and the value keeps depreciating. To understand the perspective of digital assets, consider the apparel industry. Apparel cannot be re-sold due to the product’s life, shape, size and quality variation.
- NFTs are as versatile as ICOs (Initial Coin Offerings): Centralized marketplaces bridge the gap between the investors and the assets. The matter of fact here is that neither do they guarantee an authentic item nor do they do it without charging a massive amount.
WazirX, a cryptocurrency exchange, has closed down its NFT marketplace. This occurs as the cryptocurrency sector bears the brunt of the ongoing recession. The WazirX NFT marketplace has been sunsetted, according to the website for the exchange. NFT trading is still available on OpenSea. There are 46,400 things for sale right now on the cryptocurrency exchange’s OpenSea profile. According to WazirX, the marketplace failed to take off. The WazirX NFT Marketplace has been sunsetted. They are pleased to have introduced the first NFT bazaar in India in June 2021, featuring numerous artists’ creations.
“We take great pride in our contribution to India’s NFT industry. Our efforts have helped draw attention to many Indian creators, and we have given them a platform to display their ability”, stated the company.
As a result of the double whammy of a protracted bear market and new regulatory restrictions put in place by the government, the Indian crypto ecosystem has had a difficult time. Bitcoin exchanges are still keeping a low profile despite a sharp decline in trade activity. According to WazirX’s most recent proof of reserves report, the value of user assets held is $286 million. It stated there would be enough liquidity for customers to withdraw as its reserves-to-liabilities ratio is still above 1:1. The business added that it had built a secure platform where creators could present and exchange their distinctive digital goods. As a result, their customers may be confident they can keep their NFTs in their wallets and sell them on other marketplaces like OpenSea.
The Dream11 Saga: Legal Battles and Tax Controversies in India’s Online Gaming Industry
boAt and BookMyShow Navigate Troubled Waters Amidst Rapper Shubh Controversy
Will Torrent Pharmaceuticals Acquire Cipla? Is the Indian Pharma Giant in Financial Trouble?
Tata Nexon Facelift Unveiled: A Game-Changer in the Compact SUV Segment
Royal Enfield: The Regal Journey of Luxury Motorcycles
Physics Wallah Edtech: A Revolutionary Success Story
From YouTube to Billion-Dollar Valuation: Explore how Physics Wallah transformed India's EdTech landscape with affordable education.
Ola Electric Temasek Fundraise: Ola Electric Mobility Pvt Ltd Receives $140 Million Boost from Temasek to Accelerate Growth
Snitch, a fashion label for Men’s wear, records ARR of a whopping 100 crores in Q4 of FY’22
D2C fashion brand Snitch attracts an annual return of Rs. 100 crores within 2 years of its inception, aims to become India’s biggest fashion brand for men.
MediBuddy Secures $18 Million in Funding for Expansion and Acquisitions
Viacom18 Secures TV and Digital Rights for Indian Cricket Team’s Home Matches: A Game-Changer for Cricket Broadcasting
Latest6 months ago
Ola S1 Electric Scooter: Everything You Need to Know About the Recall
Analysis5 months ago
Aryan Khan’s clothing collection D’Yavol X: The Devilishly Luxurious collection sold out in a day even with whopping prices!
News7 months ago
ReviewAdda By Rahul Jain: Helping Students Navigate Confusing Admission Processes at Private Universities
Analysis6 months ago
UpGrad vs Eruditus: Contrasting revenues in FY22
Analysis6 months ago
Yulu Revolutionizes Urban Transportation in India with Strategic Partners
Stories5 months ago
BlissClub Founder Minu Margeret: Bringing Inclusivity in Activewear
News5 months ago
Reliance, Circle E Retail in Joint Venture to Aid Hamleys and Rowan Toy manufacturing
Stories5 months ago
Nestle’s Rural Marketing strategy: Expansion in the rural landscape amid boom in business