NFTs have become one of the most polarizing forms of investment in recent years, and those who were skeptical about them were up to something. The new study by dappGambl took a look at tens of thousands of NFTs, only to find out that 95% of them are essentially worthless now.
NFT, aka, non-fungible tokens became all the rage in 2021 and saw nearly $2.8 billion monthly trading volume in August that year. These crypto assets were used to certify ownership and authenticity of digital files, including images and videos, and they’ve attracted everyone from celebrities to billionaires.
Despite their huge popularity at one point in time, the NFTs faced a lot of criticism from the get-go. Due to their association with blockchain, NFTs caused environmental concerns because of the carbon footprint they’ve left behind, in addition to being used in art scams and being characterized as speculative investments with no real value.
The NFT critics had their hearts in the right place, and dappGambl’s new study came to a conclusion that NFTs have a weekly traded value of around $80 million in July 2023, according to the data they’ve collected from NFT Scan and CoinMarketCap.
They came to the conclusion that 95% of the NFTs analyzed are practically worthless now, while the remaining 5% mostly plummeted in value. Less than 1% of these NFTs boast a price tag of over $6,000, proving that high-value assets are a true rarity in the NFT world.