Bitcoin Takes Second Place in NFT Sales Volume

The non-fungible token (NFT) market has been gaining momentum since the beginning of the year, opening up good investment prospects. Since early 2024, experts have registered active growth in the NFT market. Trading volumes and user engagement reached new highs. The volume of NFT trading amounted to $1 billion, which is 17.3% more than in the previous month.

Recent reports continue to record increased user activity in the NFT market. For example, during the last week of February, the trading volume exceeded $306 million.

The CryptoSlam analytics platform shows an increase in the amount of transactions with digital collections in the reporting period by 17.66%. Leading blockchains of Bitcoin (BTC) and Ethereum (ETH) demonstrated intensive growth. One of the largest cryptocurrencies by market capitalization, ETH, surpassed Bitcoin. The volume of transactions with tokenized collections on ETH amounted to $145.913 million. BTC ranked second in terms of NFT trading volume. Users of this cryptocurrency executed transactions totaling $70.96 million. The top three blockchain platforms for NFT trading volume also included Solana. Its native token SOL reached $48.81 million for the week.

The NFT marketplace is currently focused on Blur and OpenSea aggregators. Analysts at Block Research company record the dominance of the Blur marketplace. Its share exceeded 78%, while the presence of OpenSea decreased to 18.7% over the same period.

The average daily NFT trading volume on Bitcoin (Ordinals protocol) was about $15 million. Most transactions are processed by the Magic Eden and OKX NFT trading platforms.

How to Invest in NFT

· Direct investments for resale on marketplaces;

· NFT lending. Providing a loan based on NFT to earn higher returns than standard crypto and traditional loans;

· Index projects – buying a common NFT index to profit from exchange rate differences;

· Buying ERC-20 NFT-dependent tokens.

Although the NFT market is speculative and carries certain risks, this sector continues to attract more and more investors, as the income received from a successful investment in NFT tokens often exceeds the profit from trading shares or foreign exchange differences.