OpenSea’s Monthly Trading Volume on Ethereum Plunges in August
OpenSea, the NFT marketplace, experienced a significant drop in its monthly trading volume on Ethereum in August. The volume plummeted to 60,200 ETH, a level similar to what was observed in June 2021. According to Dune Analytics, OpenSea’s monthly volume reached only $106 million in August, a significant decrease from its high of nearly $4.87 billion in January 2022. This decline in trading volume has raised concerns about the health of the platform.
Main Breakdowns:
– OpenSea’s monthly volume in August was at its lowest level since June 2021.
– In January 2022, OpenSea recorded a peak volume of 1.6 million ETH ($4.87 billion), which is a stark contrast to the 60,218 ETH recorded in August.
– OpenSea saw a drastic reduction in NFT sales, with only 244,907 sales in August compared to over 1.7 million sales in January of the previous year.
Top Collections Defy Overall Trends
Despite the overall decline in OpenSea’s trading volume, some of the platform’s top collections have managed to grow in the past month. DeGods, for example, saw a significant increase in volume and sales, while Bored Ape Yacht Club experienced an uptick in volume and sales as well. However, the floor prices of these collections have seen some fluctuations.
Polygon Data and OpenSea Policy Shifts
OpenSea’s transaction volume on Polygon in August was just over $7 million, significantly lower than its Ethereum volumes. Additionally, the platform saw its lowest monthly user engagement in the past year, with 125,000 active users on Ethereum and 96,000 active users on Polygon. These figures represent a nine-month low for OpenSea.
OpenSea recently implemented key policy changes, including ceasing support for NFT transactions on the BNB Chain and discontinuing royalty payments on secondary sales. These policy shifts have divided the NFT community and have sparked mixed reactions. OpenSea now faces the challenge of competing in an increasingly fierce Ethereum-based NFT marketplace.
Hot Take
OpenSea’s decline in trading volume and user engagement, along with its recent policy shifts, signal a challenging time for the platform. While some top collections have managed to thrive, the overall trend is concerning. OpenSea needs to reevaluate its strategies and regain the trust of its users to remain competitive in the evolving NFT landscape.
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