In recent years, humanity has gone through situations that no one expected to happen. The COVID-19 pandemic caught us all off guard, without knowing what to do or how to act. Right now, there was a boom in cryptocurrencies and other digital assets such as NFTs. Many ignored them, but NFTs they were sold very expensive a few years ago, although we cannot say the same now, since the market has collapsed and it is estimated that the 95% of them are no longer valuable.
If we buy a non-fungible token, also called NFT, what we acquire is an encrypted digital asset unique to us. We may see an image sold as a token and not understand the meaning of buying it, but we have to see it from the point of view of the collecting and investing in assets that can reach a higher value. In the case of NFTs, we even saw celebrities promoting them and creating your own. It was a new type of business that did not last long, since the fever for these tokens has already disappeared.
95% of NFTs today barely have value
Non-fungible tokens are no longer what they used to be and have been losing value considerably to the point where they are not worth it. In July of this year, we saw how the NFT of the first tweet that cost 2.9 million dollarsreceived deals under 10 dollars. Imagine the frustration of buyers who thought these digital assets were going to increase in value. This is not a unique case, but rather the vast majority of tokens have ended up having almost no value.
The latest reports show how the collapse of NFTs exists and practically the 95% of NFTs no longer “they have value“, something that is hard to believe, because until not long ago there was a large market of these. It was in January 2022 when tokens were sold for a value of 12.6 billion dollarswhich was indeed much greater than the 2.8 billion dollars in August 2021.
Only 1% of NFTs are priced at $6,000 or more
These figures are very far from being compared with the current ones, since worldwide it is estimated that there is a volume of operations of only 80 million dollars per week, that is, 320 million monthly. In order to extract this data, the report created by dappGambl analyzed a total of 73,257 NFT collections. Among all these, 69,795 collections are classified as worthless, since they are those that have a market value of 0 ETH.
Considering that 1 ETH is currently worth close to 1,500 euros or 1,600 dollars, reaching this figure for NFTs is very unusual. The most typical thing is that the vast majority have a price of well under $1,000. It is estimated that the 41% of NFTs current has a value of between 5 and 100 dollars and only one 1% manages to overcome the barrier of 6,000 dollars. Another problem with the tokens analyzed is the environmental impact which is related to its creation. To generate 195,699 NFT collections, it took 27,789,258 kWhabout 16,243 metric tons of CO2.