After a long day of doom scrolling on Twitter, you might be leaving a crowd of verified NFT profiles of monkeys and punks to switch to another social media channel for a fresh stream of content.
Except now, there’s a good chance the whole horde of monkeys and punks and zombies and more will be following you over the internet. Have new data revealed that the NFT market is racking up formidable numbers — and social media giants are poised to capitalize on the trend.
Watch me, metaverse!
Data from Messari Research showed that the market cap of the NFT market was over $15 billion. More interesting, however, is the composition of the sector. NFT avatars formed the largest share of market cap worth nearly $8 billion.
Messari analyst Mason Nystrom too noted that NFT avatars were worth more than NFT games, art, and collectibles combined.
Avatar NFTs currently represent the largest subsector within NFTs, accounting for ~$8 billion of the $18 billion dollar market cap and more than the following three categories combined. pic.twitter.com/zyiqZebA8r
— Mason Nystrom (@masonnystrom) February 10, 2022
He acknowledged the difficulties of a market decline, but added†
“However, the long-term horizon of the NFT ecosystem is bright as the NFT industry continues to expand as new entrants enter the space and new companies issue non-replaceable tokens based on existing or new intellectual property.”
Speak of the devil…
Newcomers have certainly made a splash in the NFT ecosystem, and how. While Twitter’s reveal of verified NFT profile pictures received both appreciation and controversy, another platform has now joined: Only Fans.
The content subscription platform — thought to be friendly to creators monetizing adult content — shared that users could display verified NFTs as their profile picture. The CEO of OnlyFans explained that this was to “enable creators”.
However, we need to look deeper. OnlyFans told Reuters that at the time it only supported Ethereum-minted NFTs and verified NFTs with an Ethereum icon. This drastically narrows the options for DeFi enthusiasts. It also raises the issue of how popular the NFT verified profile picture feature will be when users are faced with extravagant gas charges.
Want a sequel?
Things are heating up in the NFT space as more blockchains race to add NFT functionality to their users in an effort to shake off Ethereum’s dominance. Additionally, new NFT marketplaces are emerging to challenge OpenSea’s trading volumes. As if that wasn’t proof enough, metaverse coins are becoming popular, and even Grayscale Investments is considering them.
With digital giants like Meta and Twitter exploring NFT functions, and market cap soaring, it looks like the monkeys and punks are here to stay.
This post The Most Valuable Trend In The NFT Space And Why It Should Be Important To You
was published first on https://ambcrypto.com/heres-the-most-valuable-trend-in-the-nft-space-and-why-it-should-matter-to-you/