
<p>Data doesn’t lie. At NonFungible we analyze it and make the complex simple and freely accessible for everyone.</p>



<p>Our 2018 Yearly Report looks into Non-Fungible Token trends on the Ethereum chain. We use our data to provide an in depth analysis of the market backed with charts and analytics.</p>


With the crypto market experiencing a sharp decline at the beginning of the year, one would expect that the enthusiasm in this new industry would diminish. Yet to date many new projects have been launched in different market segments.

With $205,899,587 traded for 7,662,072 transactions, this new market is not to be underestimated!

A new industry is born!

The project that has marked the most this year is undeniably CryptoKitties. Mixing Collectibles and video games, these virtual chats dominated the market throughout the year. We have therefore focused on the evolution of prices around the different attributes of each cat (Base Color, Accent color, Highlight color, PAttern, Fur, Eye Colour, Eye shape and mouth)

Focus on CryptoKitties

The year 2018 was the year of acceptance for the Non-Fungible Token standard on the Ethereum blockchain. The ERC-721 would make it possible to exchange any digital asset peer-to-peer for multiple segments. Art, video games, collectibles, virtual worlds...

An entire universe of possibilities has opened up to new players in the crypto ecosystem despite a fall in the market at the beginning of the year. Small community with big ambitions, here is our first annual report of Non Fungible Tokens to understand the different trends in this emerging market.

Yearly NFT Market Report

2018


<p>Data doesn’t lie. At NonFungible we analyze it and make the complex simple and freely accessible for everyone.</p>



<p>Our Yearly Report looks into Non-Fungible Token trends on the Ethereum chain. We use our data to provide an in depth analysis of the market backed with charts and analytics.</p>


In 2019, we saw a lot of new active smart contracts being deployed and used regularly! But, the overall USD volume, number of sales and number of active wallets remained stable. Our analysis of these numbers is that the ecosystem continues to stabilize following the pre-sale craze that followed the ICO frenzy.

We believe that the industry continues to gain maturity in user experience, good practices, and that it is preparing overall for the challenges that await it in the coming years for mass adoption.

Stabilization of the NFT ecosystem

This stabilization of the ecosystem has allowed us to develop new indicators to better analyze trends:
- Penetration rate
- Isolation rate
- Liquidity rate
- Trends per category of project
- NFT IDs, based on all the previous metrics

What is the liquidity ratio for each segment? How do communities interact with each other? Are they isolated or on the contrary form a big family? Also, how are the projects doing according to the rest of the ecosystem? We wanted to answer these different questions in this report!

New KPIs to analyze the ecosystem

The ecosystem has significantly changed in a year. Investors continue to pour in, success stories are numerous, new typologies of projects are developing (other than gaming), communities are constantly growing, the whole space is getting more mature... there is no doubt, we moved to the next level!

It has been a big challenge to develop this report in order to reflect an ecosystem as vast and dynamic as the NFT one! The goal of this second edition of the NFT Yearly Report is to give everyone an overview of the trends and to reflect on the incredible dynamic that is now driving the NFT and Blockchain Gaming industry.

2019


<p>Data doesn’t lie. At NonFungible we analyze it and make the complex simple and freely accessible for everyone.</p>



<p>Our 2018-2019 Art Report looks into Non-Fungible Token trends on the Ethereum chain. We use our data to provide an in depth analysis of the market backed with charts and analytics.</p>


2018, due to the difficult context in the cryptocurrency universe, the market was mainly driven by CryptoPunks. The renewed interest in art returned towards the end of 2018 and continued to grow during 2019.

One of the interesting indicators to observe is the evolution of secondary sales in the Non- Generative art market. The latter has seen an evolution of 537% in one year!

It’s not just the resale of works created by artists that has been booming: the number of artists, works, dollar volume traded and transactions also increased significantly in 2019.

Global art market activity

As expected, marketplaces have played a major role in the dissemination and visibility of digital art. True sanctuaries at the service of artists, their role has been decisive in ensuring artists’ recognition and remuneration.

Art Marketplaces have also taken on the role of gateways and evangelists, allowing a whole community of artists to overcome the technical constraints of blockchain, and by offering a simplified user experience, accessible to everyone.

Their growing notoriety over the years has in the meantime increased the visibility of the artists they host. The constraints imposed by the blockchain do not allow a universal cross-platform Royalties system for now, the artists generated

royalties incomes thanks to secondary sales that occured on the same platform where the artworks was initially issued. We can assert that without these marketplaces, mosts of these artists would never have issued a single piece of NFT artwork.

Art Marketplace

In the last two years, we have seen more and more artists using NFTs to sell their works. In response, there has been an influx of collectors and DAO to buy them. We believe that artists deserve a comprehensive report dedicated to art, which is why we have sifted through the 2018 and 2019 market reports to provide you with an objective and independent analysis of this very promising market!

We analyzed the 4 main art marketplaces (Makersplace, SuperRare, Known Origin and Async Art) as well as artists with an individual collection. Also, when writing this report, we included CryptoPunks in our analyses, considering this collection as generative art. Today, we consider CryptoPunks as Collectibles and more art.

NFT Art

2018-2019 NFT Art Report


<p>Data doesn’t lie. At NonFungible we analyze it and make the complex simple and freely accessible for everyone. </p>



<p>Our Yearly Report looks into Non-Fungible Token trends on the Ethereum chain. We use our data to provide an in depth analysis of the market backed with charts and analytics.</p>


The major increase of active wallets between 2019 and 2020 accompanied by an impressive hike of almost 50% in the number of buyers suggests the community of owners and users of NonFungible Tokens has grown considerably.

At the same time, the unprecedented volume of USD transactions during 2020 largely echoes the increased value of the Cryptocurrency market which began to rise during 2019. This gradual exit from the Crypto Winter has automatically led to an increase in the value of assets in USD.

This increase in USD volume is also supported by new NFT projects and users coming into the Ecosystem. In short, 2020 appears to have been the year of revival for the NFT economy, showing the first very encouraging development indicators after the relative weakness observed in 2019.

Global growth of the NFT ecosystem

There was a huge spike in active wallets at the end of 2020, which coincides with the start of the latest Crypto bull run. It is also estimated that this peak in activity at the end of the year is due to the various announcements made by the media relating to large IP and Video Game Studios around the world entering the space.

The second notable trend on this chart is the growing gap between the number of Buyers and Sellers each month. This gap, which becomes very visible from the second semester of 2020, is a very good indicator of the positive development of the Ecosystem. We will wait to see if the trend continues in 2021 and if these new owners of NFT will use their assets.

Number of active on-chain wallets surged

This report is not meant for Non-Fungible experts but to help everyone in or outside the NonFungible Tokens ecosystem to help them to better understand NFTs. What is the potential? Why should you care about NFTs?

2020 has been an unprecedented year for most of the world's population. From a global pandemic and lockdown to political upheavals, riots and catastrophic natural disasters… we’ve had it all!

In stark contrast and perhaps partially due to such turbulent global events, interest and investment in virtual economies and digital assets have boomed, and there has been more interest than ever seen before. Within the Non-Fungible Token ecosystem, individual sectors have seen success, Art, Gaming and Digital Assets have all gained remarkable traction during 2020 with this once niche and experimental industry maturing into a force to be reckoned with.

2020


<p>Every year since 2018, NonFungible.com publishes “Yearly NFT Market Report” which remains to date the most in-depth and comprehensive piece of research about the NFT Industry</p>



<p>These reports are designed for curious newcomers as well as experienced investors.</p>


Collectibles is probably the segment that is running out of steam in favor of Metaverses and Blockchain Gaming.

With over $5 billion in profit recorded in NFT trading, speculation is an integral part of this market. But this is a more complex activity than it seems...

Markets gradually became saturated with the issuance of millions of new NFTs. How have the markets reacted to this unbridled multiplication of assets?

The market boomed to over $15 billion for nearly 2 million active wallets.

"NFT" was declared word of the year 2021. This is not surprising given the exponential growth of the industry. Between unprecedented opportunities, excessive speculation and new economic models: where are we?

The 200 pages, 70 metrics and 15 interviews of this report have been designed to give you the most complete and up-to-date overview of the different facets of the NFT industry.

2021


<p>Data doesn’t lie, at NonFungible we analyze it and make the complex simple and freely accessible for everyone.</p>



<p>Our Q3 Report looks into Non-Fungible Token trends on the Ethereum chain. We use our data to provide an in depth analysis of the market backed with charts and analytics.</p>


Q3 of 2021 broke the $billion threshold by a long way, with almost $6 billion traded on the Ethereum blockchain alone. All indicators continue to show an upwards trend, with the number of wallets in use of both buyers and sellers increasing significantly.

Record USD volume for NFT sales

Unsurprisingly, the collectibles segment generated the most USD volume this quarter, undoubtedly stemming from PFP hype but also from the continual increase in the price of CryptoPunks and Bored Ape Yacht Club.

Market Distribution

The recent growth of the NFT industry has been almost unbelievable. In just a few short months, the $billion-dollar mark has been crossed in traded NFTs, followed by $billion per quarter and only then to be surpassed by $billion per month.

The market we see evolving today is a market that is growing at an exponential rate, with unprecedented liquidity but it is also even more of a speculative and volatile market than ever before.

The current market growth dictates that all investors and NFT stakeholders should pay extra attention as Triple-digit growth goes hand in hand with market instability, unrealistic expectations and potential disappointments.

Quarterly NFT Market Report


<p>Data doesn’t lie. At NonFungible we analyze it and make the complex simple and freely accessible for everyone.</p>



<p>The NFT Market has been in full craze mode since the start of the year. We have witnessed multi-million-dollar sales almost every week with new projects announced each day, copycats are being created from copycats.</p>


There are numerous NFT projects, with dozens of new promising ones popping up everyday. Sometimes, because of misleading marketing campaigns or inflated market volumes, it may be complicated to truly identify what is a promising project and what is not.

You have probably read on a lot of related websites that you should “DYOR” or “Do Your Own Research” before purchasing any asset, but where should you start and what is the right criteria? This section is intended to help you drive forward your own due diligence before investing into any NFT project or purchasing an asset.

As the NFT ecosystem is already extremely broad, from Art to Gaming and Metaverses, the due diligence process is necessarily different depending on the particular asset type.

What to check before buying an NFT?

As mentioned earlier, the objective of our work in this report is to help everyone gain autonomy in their analysis of the NFT Markets, with the right tools and the necessary knowledge.

Before going into further detail in this section, we must return to the assumption which is at the origin of our research work: "There is Wash Trading in the NFT Market". In order to validate this hypothesis and to succeed in quantifying Wash Trading, it is first necessary to identify in what form this Wash Trading takes place, how to recognize it and what reasonable doubts lead us to consider this or that transaction is an illegitimate one.

Is there wash trading in NFT markets?

We have always done our best to help the NFT industry remain as healthy and transparent as possible. In recent years, we have published several articles* on the risks and abuses within the ecosystem** in an effort to raise awareness among the various stakeholders. This year, we have decided to go even further and publish a comprehensive report which covers the good practices of Due Diligence in Wash Trading.

The purpose behind this report can be divided into five objectives:
1. To make the NFT world a healthier place for everyone.
2. Bring further transparency and honesty to the booming NFT Markets.
3. Reduce the volume of suspicious transactions.
4. Ensure the long-term sustainability of this market.
5. Promote individual responsibility, i.e: Do Your Own Research “DYOR”, Due Diligence, community whistleblowing etc...

Safe practices

NFT Safe Pratices Guide


<p>Data doesn’t lie. At NonFungible we analyze it and make the complex simple and freely accessible for everyone. Our Q2 Report looks into Non-Fungible Token trends on the Ethereum chain. We use our data to provide an in depth analysis of the market backed with charts and analytics.</p>


Whether compared to last year or the previous quarter, more dollars have been traded, the number of buyers and sellers have increased, and the number of active weekly wallets has increased. This trend is part of a strong growth for both the NFTs sector and the crypto sector since September 2020.

All indicators are green

Despite the USD volume being lower than at the beginning of the quarter, the sales volume saw a sharp increase. The collectible segment largely dominates the market in this quarter. The explosion in USD volume in May was mainly due to the launch of Larvalabs’ Meebits project.

Out of all the sectors, the utility sector is the one that has evolved the most over the last three months. As these NFT use cases are not very widespread, we carefully consider this signal could become a trend.

During this turbulent quarter, the NFTs sector experienced a massive activity spike as new users joined the NFT community for the first time. These last three months, we have seen the mainstream media place NFTs on a pedestal, giving the industry excellent visibility, but also encouraging ink to flow, giving rise to new artists and projects.


<p>Data doesn’t lie. At NonFungible we analyze it and make the complex simple and freely accessible for everyone.</p>



<p>Our Q1 Report looks into Non-Fungible Token trends on the Ethereum chain. We use our data to provide an in depth analysis of the market backed with charts and analytics.</p>


We can safely say that the first Quarter of 2021 is unlike anything we've ever witnessed in the NFT industry.
This first Quarter has seen more than $2 billion USD traded in NFTs, more than 20 times the volume traded over the previous three months, or 131 times the volume of the first Quarter of 2020.

Massive USD volume growth

The value of Art assets in the secondary market has increased significantly (from 35% in 2020 to 61% in Q1 2021). This is a clear sign of speculation from collectors who are trying to get their hands on as many of the works already issued by promising artists as possible.

Collectibles and art are leading

Regarding the Collectibles segment, the secondary market represents half of sales today, while it only represented a third in 2020. As with art, there is very strong interest in already issued assets, even more than for recently created assets by the projects.

So much has changed since December 31, 2020, a new era of the NFT industry has dawned with this new asset class attracting media coverage like never before.

Many skeptics have started to raise their heads as the increase in value has people speculating on an NFT “Bubble”. The pioneers, builders, and those who have been participating in building this ecosystem for more than three years are very aware that this is no bubble, but an underlying trend, slow, powerful, relentless.

We hope you will find these pages informative, and that they will allow you to better understand this booming industry.


<p>The NFT Market is stabilizing thanks to solid and engaged communities with a healthy trading behavior. Usefulness of tokens now seems to take precedence over the notion of financial investment.</p>



<p>The first era of NFTs where profit and speculation reigned supreme seems over, and gradually a new page in the history of this technology is being written under the mainstream radar.</p>



<p>The next boom is beginning to take shape. There is still time to prepare for it, but get ready because this wave will most likely be even more explosive and impactful than the era of “NFT Collectibles”.</p>



<div class="wp-container-1 wp-block-buttons">
<div class="wp-block-button aligncenter has-custom-width wp-block-button__width-100 has-custom-font-size is-style-fill has-medium-font-size"><a class="wp-block-button__link has-white-color has-luminous-vivid-orange-background-color has-text-color has-background" href="https://www.slideshare.net/secret/ECKivLhCG3AUNT" style="border-radius:0px" target="_blank" rel="noreferrer noopener">Read your Q3 2022 NFT Market Report</a></div>
</div>


The NFT market shrinks and enters into a stabilizing phase, also showing auspicious signs of a coming boom taking shape.

A massive 77% drop was observed in terms of USD traded between Q2 and Q3 2022 with a global volume of about US$1.7 billion in Q3 2022.

A net quarterly loss of US$450M is recorded for the first time ever.

A 84% decrease in profit at resell is observed during the period, for a total loss that decreased by 44% (US$326 million profit for US$783 million loss).

1. The fundamentals
2. A look back at Q3 2022
3. Overall performance Q3 2022
4. Detailed performance (search volume, performance by segment, market distribution by project, etc.)
5. Profits & losses on the market (profit & loss per segment over time, most profitable projects, etc.)
6. Focus by segment (key metrics about: crypto-art, collectibles, gaming, metaverses, utilities)
7. Conclusion


2022


<p>The bear market has largely impacted the NFT market. For the first time in the history of NFTs, trading-related activities are no longer profitable. Despite a complicated economic context, NFTs continue to surprise, and we observe some strong trends around Metaverses and Utilities over the period, which tends to revitalize the markets. </p>



<p>With speculation in a tailspin, it looks like the industry has once again entered a building phase, away from the spotlight.</p>



<div class="wp-container-3 wp-block-buttons">
<div class="wp-block-button aligncenter has-custom-width wp-block-button__width-100"><a class="wp-block-button__link has-white-color has-luminous-vivid-orange-background-color has-text-color has-background" href="https://www.slideshare.net/secret/r0QVu2GhFiibrh" style="border-radius:0px" target="_blank" rel="noreferrer noopener">Download your Q2 2022 NFT Market Report</a></div>
</div>


A massive 25% drop was observed in terms of USD traded between Q1 and Q2 2022 with a global volume of about US$8 billion in Q2 2022.

A net profit of US$460M is recorded over Q2 2022, a significant decrease compared to Q1 2022 (US$2.3B).

Secondary market remains predominant with almost 80% of the volume of USD traded, in the meantime, primary market has constantly decreased over the period.

A 46% decrease in profit at resell is observed during the period, for a total loss that increased by 23% (US$1.8 billion profit for US$1.4 billion loss).

The market is more centralized than ever: More than 30% of the volume of USD traded over the quarter is distributed between projects that have been launched or acquired by Yuga Labs.

The bear market has largely impacted the NFT market. For the first time in the history of NFTs, trading-related activities are no longer profitable. Despite a complicated economic context, NFTs continue to surprise, and we observe some strong trends around Metaverses and Utilities over the period, which tends to revitalize the markets.

With speculation in a tailspin, it looks like the industry has once again entered a building phase, away from the spotlight.


<p>The incredible enthusiasm for NFTs led to tremendous growth of the NFT industry in 2021. The early days of 2022 mark a new era for NFTs, with many changes to the market.<br>Are we facing a bubble on the verge of bursting? Are the NFTs markets holding up despite the tense geopolitical situation surrounding the war in Ukraine?<br>The Q1 Quarterly Report 2022 presents the first detailed figures on the reality of NFTs markets.<br>This quarter, we had the chance to interview Shaban Shaame, a pioneer of Blockchain Gaming since 2014, who shares his vision and thoughts on the state of the industry.</p>



<div class="wp-container-2 wp-block-buttons">
<div class="wp-block-button aligncenter has-custom-width wp-block-button__width-100"><a class="wp-block-button__link has-white-color has-luminous-vivid-orange-background-color has-text-color has-background" href="https://www.slideshare.net/secret/zw9isU0mUwYh2Y" style="border-radius:0px" target="_blank" rel="noreferrer noopener">Download your Q1 2022 NFT Market Report</a></div>
</div>


The general public seems to be losing interest in NFTs, if the search volume on Google is to be believed.
Collectibles are the predominant segment in the industry, far ahead of Art or even the Metaverses.

The resale profit volume is down 3% while the total loss volume is up nearly 50% compared to the previous quarter.
For the first time, some segments show a negative balance: Gaming shows a total loss of almost $50 million on the segment, which makes it the least profitable segment of the industry from a trading point of view.

With nearly $8 billion traded in the first quarter of 2022, the market cannot really be considered to have collapsed. We are seeing more of a form of stabilization, in line with the last quarter of 2021.
Conversely, the volume of sales fell by nearly 50%, with a very marked slowdown in the volume of buyers and sellers.
The great novelty of this quarter is undoubtedly the evolution of profitability in the markets. Making a profit in NFTs is no longer so easy in 2022...

Market Reports

Gain latest insights and trends of the industry

2022

2021

2020

2019

2018