NFT collectors see a small sell-off as economic downturn leads to

The NFT market continues to slump, with holders selling their digital assets at huge losses and the market's trading volume and users plummeting.

Losses from secondary sales averaged 1,000 ETH ($1.9 million) per day, with peaks as high as 3,000 ETH.

In the past 30 days, blue-chip NFTs such as CryptoPunks, Bored Ape Yacht Club, and Moonbirds have experienced declines of 18%, 16%, and 13% respectively. Earlier this month, a holder sold 27 Bored Ape Yacht Club NFTs, which were worth $3 million at the time. The market was hit and had a chain reaction on the market.

At the same time, NFTs used as collateral for lending protocols are being liquidated, with the majority of liquidations occurring on NFTfi. The market downturn has caused daily trading volume and active users across all NFT markets to drop sharply over the past three months.

Serial number inscription

Ordinals — Bitcoin NFTs — continue to gain traction among NFT enthusiasts. Total registrations have exceeded 1.85 million, an increase of 85% in just two weeks, and total fees generated by the protocol reached $5.3 million.

NFTfi Points Program

In response to the market downturn, NFT lending protocol NFTfi announced OG Points, a loyalty-based rewards program designed to incentivize users to use the platform. Borrowers and lenders of eligible collectibles can claim OG Points, which will eventually be redeemable for blockchain tokens.