NFTs: What happened?
At the beginning of 2021, the internet was in a craze around what seemed like a new innovation within the digital space. Whether it was on Twitter, Instagram, Clubhouse rooms, or even LinkedIn, people were discussing it A LOT. The acronym NFT was pretty much a household name. But what happened to the non-fungible tokens?
Back in April there was an article from CNN stating “that the average price of NFTs plummeted almost 70% from a peak…” (CNN Article) and there are now reports that sales are down even beyond that. Some speculate that sales are down 90% since the market peak. So what exactly happened to NFTs? Why did they go from the new hit thing, to falling into obscurity? Well here are my thoughts.
Too Many Cooks
In some cases market saturation can help really drive progress and innovation within a segment. The only downside is it can also do the opposite. A pro and con to NFTs is ease of entry. Almost anyone that was tech savy could publish an NFT on something like OpenSea and find buyers, espically those with a following on a social media platform. This certainly helped NFTs rise in popularity but it was also something I believe caused it’s current downfall. Similar to how during the Renaissance period there might have been plenty of artists but only the strongest of those survived to be top sellers today, there is a correlation to the trend…
