Nansen: Market Participants Spent $2.7 Billion on NFT Minting in H1 2022

During the first half of 2022, NFT market participants spent 963,227 ETH minting non-fungible tokens on the Ethereum blockchain. This is about 2.7 billion dollars.

Analyst firm Nansen has published a report on funds received from NFT minting. In January-June, more than 1.5 million unique wallets minted tokens from January 1 to June 30, 2022, accounting for a weekly share of 13.7% of total NFT transactions.

According to the company’s experts, in just the first half of 2022, 28,986 NFT collections were released on Ethereum, more than half of which (14,961) were free projects.

Analyzing the structure of financial flows, the movement of funds and the distribution of collections, Nansen analysts came to the conclusion that two-thirds of all NFT projects were able to raise no more than 5 ETH, while only 140 NFT collections were able to exceed the sales bar of 1000 ETH.

Approximately 45.7% of the Ether generated from the initial sales went into the wallets of individuals. About 3.5% of ETH was sent to the wallets of service providers, business angels or charities. Approximately 0.2% were placed on centralized exchanges, the rest of the funds were reinvested in NFT projects.

In addition, a study by Nansen analysts revealed an upward trend in the flow of money into the wallets of institutional participants in NFT projects relative to the results of 2021.

In early August, experts from the CryptoSlam analytical service reported a drop in buyer activity and sales volumes on the NFT market. According to them, July sales of non-fungible tokens in the secondary markets, compared to June, fell by 25%, to $650 million. The drop in sales is recorded for the second month in a row, and the total trading volume now does not exceed $1 billion.