September Monthly NFT Report in Collaboration with Footprint Analytics

The NFT marketplace presented a bearish scenery past month, not helped by a Rolling Stone nonfiction proclaiming 95% of NFTs arsenic hitting rock-bottom valuations. However, an in-depth exploration reveals a much intricate view. Find retired the ins and outs of the marketplace arsenic a full successful our September Monthly NFT Report successful collaboration with Footprint Analytics!

In September, Rolling Stone, a prominent mainstream media outlet,  garnered important attraction with a captivating nonfiction titled “Your NFTs Are Actually — Finally — Totally Worthless”. This nonfiction claimed that “95 percent of the once-hyped crypto assets person deed rock-bottom valuation”, rendering them “largely worthless”. While this communicative struck a nerve, the world is much nuanced and offers reasons for optimism.

Although the NFT marketplace experienced a important month-on-month diminution successful September, with a trading measurement of $370.9 million, it’s important to admit that this measurement is inactive worthy something. In this report, we delve into the dynamics of blockchain networks, NFT marketplaces, and backing activities wrong the NFT space, revealing promising aspects that animate hope.

Data for this study was obtained from Footprint Analytics’ NFT probe page. An easy-to-use dashboard containing the astir captious stats and metrics to recognize the NFT industry, updated successful real-time, you tin find each the latest astir trades, projects, fundings, and much by clicking here.

Key Points

Crypto Macro Overview

• Bitcoin displayed a comparatively constrictive terms range, fluctuating betwixt a monthly debased of $25,158 and a precocious of $27,210.

NFT Market Overview

• The NFT marketplace bucked the inclination of Bitcoin and experienced a important downturn, characterized by a important driblet successful trading volume. 
• Blue Chip Index witnessed a downtrend successful September, with a diminution of 7.5%.

Chains & Marketplaces for NFTs

• Ethereum’s trading measurement amounted to $364.0 million, 30.3% down from August.
• Blur’s dominance, successful presumption of trading volume, has been gradually diminishing. LooksRare saw an upward inclination with a marketplace stock of 19.3% successful September.

NFT Investment & Funding   

• The NFT marketplace continued to grounds a sluggish pace, with a full of 3 backing rounds amounting to $27.14 million.
• Prominent crypto ventures specified arsenic a16z person shown signs of engaging successful bottom-fishing strategies, but haven’t yet invested successful the NFT market.

What’s New?

• NFT marque Pudgy Penguins debuted a artifact postulation successful 2,000 Walmart stores.
• Google enabled NFT crippled ads starting September 15, excluding gambling content.
• Animoca Brands raised US$20M for its Mocaverse project.
• Web3 arts startup, TRLab, raised $5 cardinal from Hivemind Capital, OKX Ventures.
• Casio partnered with Polygon to motorboat G-SHOCK NFT Project.

Crypto Macro Overview

In September, Bitcoin displayed a comparatively constrictive terms range, fluctuating betwixt a monthly debased of $25,158 and a precocious of $27,210. The period began with an archetypal worth of $25,940 and demonstrated a humble summation of 3.7% passim the period, closing the period astatine $26,899.

In examination to the erstwhile month, past period witnessed an uptick successful some the worth and on-chain activity. This summation successful on-chain enactment could perchance beryllium attributed to caller investors positioning themselves up of imaginable regulatory support for a spot Bitcoin ETF, a improvement that had made advancement successful precocious August.

Additionally, Bitcoin received enactment from the quality that the trustee overseeing the defunct cryptocurrency speech Mt Gox would postpone creditor repayments until October 2024. The Mt Gox property presently holds astir 138,000 Bitcoin, valued astatine $3.7 billion, and this determination is expected to support that proviso disconnected the marketplace for the foreseeable future.

NFT Market Overview 

The NFT marketplace bucked the inclination of Bitcoin and experienced a important downturn, characterized by a important driblet successful trading volume. The full trading measurement for the period was $370.9 million, a important alteration of 30.6% compared to August. The fig of transactions besides declined, reaching 1,038,886, a alteration of 7.7%. In addition, the fig of unsocial users successful September was 244,186, a alteration of astir 22.5%. 

The caller marketplace downturn has had a noticeable interaction connected the marketplace cap, which continued to fluctuate and inclination little passim the month.

In September, the NFT marketplace experienced a buyer/seller ratio of 103.0%, reflecting a 29.2% alteration from August. Throughout the month, determination were 14,832 buyers and 143,617 sellers.

Notably, the fig of buyers declined by 30.6%, portion sellers saw a alteration of 11.0% compared to the erstwhile month. These figures bespeak a slowdown successful NFT marketplace enactment during September, with less buyers and sellers participating, suggesting that the bearish sentiment inactive prevails.

The inclination observed successful regular unsocial users intimately mirrored that of regular buyers and sellers during September. Notably, from September 20 to 22, determination was a humble uptick successful idiosyncratic engagement attributed to the airdrop enactment associated with Pandra: PixelProwler NFT connected 4 blockchains, with Polygon experiencing peculiarly heightened participation.

The Blue Chip Index witnessed a downtrend successful September, with a diminution of 7.5%.

Despite experiencing important terms declines successful fashionable collections, immoderate NFT projects are exploring opportunities beyond integer marketplaces to prosecute with a broader assemblage successful the existent world. One attack involves selling carnal products done established platforms.

An illustration of this enlargement is seen successful Pudgy Penguins, which precocious introduced its Pudgy Toys postulation successful 2,000 Walmart stores crossed the United States. Each artifact is accompanied by a unsocial commencement certificate that allows owners to assertion chiseled traits for their integer “Forever Pudgy” quality wrong Pudgy World. This online virtual satellite operates connected the zkSync Era blockchain and allows users to scan a QR codification to activate their integer character. Pudgy Penguins has efficaciously utilized societal media and experiential selling strategies to pull and clasp an audience, distinguishing itself from different NFT brands that person struggled to support momentum.

Chains & Marketplaces for NFTs

In September, Ethereum’s trading measurement amounted to $364.0 million, representing a important 98.1% of the NFT market’s full trading volume. However, determination was a 30.3% alteration successful full Ethereum measurement compared to August, reflecting the downward inclination seen successful the wide NFT market.

Ethereum attracted a full of 135.6K unsocial users, a alteration of 8.1% compared to August. Polygon besides witnessed a alteration successful unsocial users, with a full of 93.7K, down 30.5%. On the BNB Chain, determination were 31.7K unsocial users, a important alteration of 42.2%. User engagement has continued to diminution implicit the past fewer months.

Speaking of NFT marketplaces, the dominance of Blur successful presumption of trading measurement has been gradually diminishing. Its marketplace stock fell from 48.9% to 47.0% successful September, pursuing a downward inclination that began successful June erstwhile its stock was 64.4%. Conversely, LooksRare saw an upward inclination implicit the aforesaid period. Its marketplace stock roseate from 8.9% successful June to 19.3% successful September. Meanwhile, OpenSea maintained a unchangeable marketplace stock of 22.4% successful September, somewhat little than its August stock of 23.2%. The NFT marketplace scenery is shifting, with Blur’s dominance waning and LooksRare gaining traction.

In September, the NFT marketplace experienced a diminution successful wide idiosyncratic activity, resulting successful a alteration successful the fig of users engaging with astir marketplaces. Despite this trend, OpenSea remained the ascendant player, attracting a important idiosyncratic basal of 189.6K unsocial users. However, this fig represented a important diminution of 29.7% compared to August.  On the different hand, Element saw a affirmative inclination successful idiosyncratic engagement. In September it recorded 41.3K unsocial users, an summation of 13.7% compared to the erstwhile month.

The NFT marketplaces continued to prosecute successful a lively statement surrounding NFT royalties passim September. Rarible announced its determination to halt aggregating orders from OpenSea, LooksRare, and X2Y2 aft September 30th. This determination was made successful enactment of maintaining and promoting the value of royalties successful the NFT ecosystem.

We are continuing the backend enactment to extremity aggregation of OpenSea, LooksRare & X2Y2 connected https://t.co/xjSw1Jg8bV, without affecting Community Marketplaces.

While our timeline is changing, our stance is not.

We #StandForRoyalties, and volition proceed to physique for artists & creators. https://t.co/HHYT8VLGjl

— Rarible (@rarible) September 29, 2023

The treatment connected royalties gained momentum erstwhile X2Y2 introduced a 0% royalty interest for creators successful February 2022. Subsequently, platforms similar Sudoswap, Magic Eden, and LooksRare besides adopted akin approaches aboriginal that year. OpenSea, initially a beardown advocator for creator royalties, had acceptable them astatine up to 10%. However, successful February of this year, tensions with the competing Blur led OpenSea to trim the royalty fees. OpenSea’s caller determination to marque royalties optional resulted successful the disabling of the OpenSea Operator Filter, a instrumentality that enforced creator royalties.

NFT Investment & Funding   

In September, overmuch similar the preceding month, the NFT marketplace continued to grounds a sluggish pace, with a full of 3 backing rounds amounting to $27.14 million.

Animoca Brands has precocious disclosed the acquisition of binding commitments for a backing circular amounting to a important sum of US$20 million. This backing injection aims to expedite the improvement of their esteemed project, Mocaverse. The backing circular was led by CMCC Global, accompanied by notable investors specified arsenic Kingsway Capital, Liberty City Ventures, GameFi Ventures, and others.

Mocaverse is the rank NFT postulation for Animoca Brands’ bonzer household of companies, projects, investments, shareholders, and partners. Its superior nonsubjective is to conception Web3-native tools that empower products successful gaming, culture, and entertainment. Through Mocaverse, users tin forge their ain integer identity, accumulate reputation, gain and utilize loyalty points, and leverage their integer beingness to entree the expansive Mocaverse ecosystem. This ecosystem is fueled by Animoca Brands’ extended portfolio of implicit 450 companies and a spouse web boasting much than 700 cardinal imaginable users. Mocaverse volition soon motorboat Moca ID, a postulation of non-transferrable NFTs specifically designed to alteration users to signifier their on-chain identities and actively enactment wrong the Mocaverse ecosystem.

TRLab, a good creation NFT platform, secured $5 cardinal successful effect circular funding. The circular was led by Hivemind Capital Partners and OKX Ventures, with the information of HashKey Capital. 

TRLab collaborates with artists, creation institutions, and estates to conceive, create, and motorboat creation experiences that prioritize digital-first approaches for some established and emerging collectors. Notably, TRLab’s level has already facilitated notable projects successful concern with renowned entities specified arsenic Vogue, the Calder Foundation, Cai Guo-Qiang (a modern artist), and Rhizome, the integer art-focused affiliate of New York’s esteemed New Museum.

Despite the continued slump of the crypto marketplace successful September, salient crypto ventures specified arsenic a16z person shown signs of engaging successful bottom-fishing strategies. Notably, a16z maintained a comparatively debased concern enactment from June to August 2023, with lone 1 monthly investment. However, their caller resurgence is evident with 4 investments made successful September. It is worthy mentioning that nary of these investments were directed astatine the NFT market.

Ending Words

The mainstream media often question retired utmost narratives, focusing connected implicit highs and lows to make attention-grabbing headlines. In the midst of this media frenzy, however, it’s important to retrieve that the dedicated creators and builders of the NFT enactment tirelessly down the scenes, undeterred by marketplace fluctuations.

People are saying “Now is the clip to buy” erstwhile Rolling Stone publishes an nonfiction similar this. This portion is contributed by the Footprint Analytics community. For much accusation caput to https://www.footprint.network

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