Game over? Will 2022 smile or make faces at non-fungible tokens (NFTs)? The year has started well for the latter, in particular for Axie Infinity, but the figures of the last months seem to show a sector in decline.
Axis Infinity down: minus 70% of peak
The Axie Infinity blockchain game has benefited from the boom in NFTs in 2021. Axie Infinity’s NFT sales have indeed exceeded 3 billion dollars, while the total sales of non-fungible tokens – all projects combined – have crossed $ 12 billion this year, according to data from Nonfungible.com.
Sales of NFTs during the week of December 20, 2021 amounted to $ 297 million. While these figures seem significant in absolute terms, weekly sales are actually experiencing a significant decline for three months.
On December 28, 2021, Chinese journalist known as Wu Blockchain on Twitter, confirms in his tweet this decrease in particular by using data from Nansen. The latter show a fall in “daily transaction volume on Axie Infinity and Ronin blockchains and daily Axie NFT sales” to mid-July 2021 levels. Ronin is the Ethereum (ETH) sidechain created specifically for Axie Infinity, in order to that Axie Infinity users can trade, buy or pay for NFTs without paying gas fees for sales.
The daily active addresses for Axie Infinity are fell below 300,000, “Or a drop of more than 70% since the peak”.
>> Play it safe, subscribe to the FTX crypto exchange reference <<
Victory for detractors: the NFT bubble, is it over soon?
These data indicate a decline in sales volume not only for Axie Infinity, but also for the entire NFT industry. Would the NFTs hype come to an end? Did non-fungible tokens create a bubble that would be gradually deflating ? Critics of NFT projects will certainly defend these assumptions. The other possibility is that the sector is simply entered a new phase, before a stabilization of the markets or a bullish recovery.
Even if the sector returns to the rise in 2022, Axie Infinity will certainly have to evolve with a growing number of competitors, without excluding the hypothesis that one or more competitors are able to nibble a significant market share.
The future of NFTs rests in part on the development of current metavers and the emergence of new ones, with perhaps other major players to follow. the steps of renowned brands like Adidas by launching its own non-fungible tokens.
Some are fans of NFTs, others prefer to invest in bitcoin (BTC), or ether (ETH) to take advantage of the new finance. You will certainly find the cryptocurrency that suits you in yourself Register without delay on FTX and benefit from a lifetime reduction on your trading fees (affiliate link, see conditions on official website)