NFTs Will Explode In Popularity According To New Report

NoneFungible stands as an analytics firm based in Canada. Recently, the firm has issued out a report about the NFT industry predicting that 2021 stands poised for a new bull market in the NFT space.

Rising New Trend For NFTs

Non-fungible tokens (NFTs) have long since been part of the crypto space, integrated into the Ethereum network through ERC-721. The concept itself was developed in 2018 by four individuals: Dieter Shirley, William Entriken, Nastassia Sachs, and Jacob Evans.

However, the NFT space had always been an obscure corner in the crypto space up until the year 2020, when all sorts of crazy things just suddenly started to happen in general. The second half of 2020 was the time of NFTs, and the market saw a 200% increase in sales, recording a volume of $9 million.

Now, however, NFTs seem to be gaining ground at incredible speeds. Within the last 24 hours alone, the NFT space recorded a total of $60 million in trade volumes.

Scarcity Is King

NFTs, by their very nature, have certain tokens that are highly sought after, much like rare collector’s items. These NFTs have skyrocketed in value, with several of them trading hands for over $1 million each in February alone. A collectible NFT from the Cryptopunk series managed to be sold for a whopping 550 ETH, which amounts to over 1 million at the time of writing.

Another event, even more expensive than the one mentioned above, occurred just three days earlier. A Cryptopunk NFT managed to be sold for 800 ETH, which is about $1.55 million when it was sold. Four days ago, another NFT was sold, going for 650 ETH. Seems Cryptopunks are both highly valuable and extremely lucrative.

PLans Already Set In Motion

The NoneFungible report reveals that project-based NFTs have seen their market cap skyrocket, going up to $338 million within 2020’s end. Mason Nystrom, a research analyst from Messari, stands convinced that the market cap for the NFT space will be set at over $1.3 billion by 2021’s end.

One of the key wins for the NFT space is the art industry embracing it wholeheartedly. As a result, over $120 million was spent within the NFT space for art sales since its start to December of 2020. Another key selling point, Nystrom noted, was within the collectible and gaming scene. He hammered home that critical infrastructure for these types of asset classes will probably launch this year.

Ether.Cards stands as an NFT project based on Ethereum. This project had even developed special NFT cards that themselves boast random special utility traits. Cards can do everything from reducing the platform fees to increase the future drop rates, and can even go as far as to allow a cardholder to gain a piece of the platform’s overall revenue. The platform itself has set itself up so artists will be able to arrange bingos, raffles, deathmatches, as well as other types of games within it.

Source: https://insidebitcoins.com/news/nfts-will-explode-in-popularity-according-to-new-report