Canada-based analytics firm NonFungible released a report predicting that 2021 is about to open up to “a new bull market in the NFT industry.”
Although NFTs have been around since the ERC-721 was invented by William Entriken, Dieter Shirley, Jacob Evans, and Nastassia Sachs in January 2018, the industry has remained largely obscure outside of hardcore crypto circles until the end of 2020. The second half of 2020. 2020 saw NFT sales increase 200% to over $ 9 million.
However, NFT’s sales have since grown at an incredible rate with around 60 million non-fungible tokens sold in the past 24 hours.
The value of highly sought after NFTs has also skyrocketed, with several NFT sales grossing more than $ 1 million each in February so far. On February 22, a collector’s item from the Cryptopunk series sold for 550 ETH, worth over $ 1 million at the time of sale.
Goodbye my queen pic.twitter.com/EruVsLfOUu
– DANNY (@seedphrase) February 22, 2021
Three days earlier, another CryptoPunk sold 800 ETH worth $ 1.55 million at the time of the sale, while another sold four days ago for 650 ETH.
According to the report, the total market capitalization of NFTs based on finished projects was $ 338 million at the end of 2020. Mason Nystrom, Research Analyst at Messari believe this figure could reach more than 1.3 billion dollars in 2021.
Nystrom noted that the art industry has embraced NFTs, generating over $ 120 million in design sales as of December 2020. He also noted great potential in the games and collectibles categories, stressing that critical infrastructure should be launched in 2021.
The Ethereum NFT Ether.Cards project has designed NFT cards that will randomly receive special utility features such as reduced platform fees, increased future abandonment rates, or even shared royalties on continued revenue from the platform. The platform will allow artists to set up raffles, bingos, deathmatch and other games on their NFTs.
The NBA is arguably the biggest company to adopt non-fungible tokens, partnering with CryptoKitties creator Dapper Labs to release collectible NFTs in the form of NBA Top Shot “Moments” of the past year.
In the past 24 hours, more than 34,000 people have traded the basketball-themed cards in Top Shot’s secondary market, generating over $ 46.7 million in trades. Earlier today, a card featuring Lebron James sold for $ 208,000, according to Cryptoslam.
Several celebrities have also tried to jump on the NFT bandwagon, with Lindsay Lohan selling a Daft Punk-themed NFT for $ 15,000.
A Russian “artist” also sought to take advantage of NFTs earlier today, turning a video of him eating a live bat in front of the European Parliament into NFT.