Burned earth: 96% of NFT collections are confirmed dead

Some 96% of NFT collections are recognized as defunct according to a new study, indicating the deepest crisis in this market.

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NFTEU

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NFTEvening have released a study on NFTs in which they claim that 96% of NFT collections on the market are «dead».

The average lifespan of NFT collections is now just over a year. This is 2.5 times less than the same figure for classic crypto projects. Last year was a record year for NFT collapses. In 2023, almost 30% of NFT projects became unprofitable.

The NFT Evening team also identified the most profitable collection to date. It turned out to be the Azuki NFT project, which on average increased the investments of non-interchangeable token holders by 2.3 times.

These experts also mentioned the most unprofitable NFT collection among the top ones — Pudgy Penguins. Her value for the entire history of existence fell by 97%.

Recall that the «dead» in this study included projects on three criteria: zero trading volume, low weekly sales and no activity in social networks. And according to these criteria, 96% of NFTs in circulation are dead.

Arkham Intelligence previously calculated that NFTs purchased by pop star Justin Bieber in 2022 for about $2 million are now worth just over $100,000. In this case, the losses reached 94,7%.