In its latest quarterly report, NonFungible.com highlighted the decline in net revenue from the sale of non-fungible tokens (NFTs). This survey also shows other interesting statistics such as the breakdown of sectors or the interest in NFTs in the country.
The NFT sector has suffered from declining profitability
NonFungible.com, the site specializing in market analysis for non-fungible tokens (NFT), revealed in his latest quarterly report that shows a significant reduced resale profits. In fact, the second quarter of this year recorded more than 1.88 billion dollars in capital gains against 3.5 billion dollars in the first quarter, ie a drop of 46%.
The number also follows a similar trend. After 10.7 billion dollars during the first three months of the year, a reduced by almost 25% bringing the months of April to June to 8 billion volume.
Other interesting data from the report also shows a 23% increase in sales in a loss. Similarly, the the duration of the conversation average also increased, from 30.9 days to 47.9 days.
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Analysis of sectors
The analysis report also shows the breakdown of sectors. For example, the collection of NFTs, especially represented by the Bored Apes Yatch Club (BAYC) or the CryptoPunks lead, with 330,909 active portfolio in the second trimester:
Figure 1: Number of active wallets
In terms of sales, this category is also far ahead, which is almost $3.79 billion. In comparison, the metaverse sector, in second place, achieved a performance of 1.25 billion.
However, it is interesting to note that while gaming registered “only” $ 389 million in volume, it is the sector that most of the sales account. This represents over a million, neck and neck with NFT collections. It shows a strong disparity in unit price.
In terms of global interest in NFTs, Asian countries are clearly ahead according to Google Trend:
Figure 2: Country ranking on the query “Non-Fungible Tokens” on Google Trends
The first European country arrived only in 17 ᵉ position and it is the Netherlands with an interest score of 35/100. This shows the margin of development that the Old Continent can achieve.
Bad results put into perspective
If the decline in NFT sales profits since the first quarter and other negative data suggest that the sector is not doing well, it is worth take the height. This is what the NonFungible report points out:
“However, if we step back, we notice that interest has returned to the level of September 2021, which is considered the golden age of NFTs at the time. »
On the other hand, it is also shown strong centralization in this industry. The Yuga Labs studio effectively concentrated 30% of the sales volume on these various projects in the second quarter. The arrival of the Otherside metaverse was also a major player in this result, generating a net profit of over $300 million.
NonFungible clarified that their analysis focuses on NFTs in the ERC-721 standard, although this should evolve. In addition, only transactions from the Ethereum (ETH), Flow (FLOW) and Ronin (RON) networks are considered. However, it offers a relevant overview to the health of this sector.
👉 Also in the news – An upcoming case for the Bored Ape Yacht Club (BAYC)?
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