A Magic Eden executive states that NFT gaming is comparable to the early days of mobile gaming. At the same time, a Dune Analytics analyst asserts that 58% of NFT trading volume this year has been comprised of wash trades.
Former US President Donald Trump’s NFT collection is already headed for the ground after a sell-out launch that netted over $4.45 million in initial sales.
On December 16, Trump released his bizarre self-themed 45,000 NFT trading card collection for $99 each. Within a few hours after its launch, all of the NFTs had been purchased, and over the following two days, the floor price rocketed to an all-time high of almost 0.83 ETH or $1,006 on OpenSea.
Since then, the floor price has fluctuated, and some community members have called attention to the possibility that the NFT artwork has been lifted from other sources.
The floor price at the time of writing, according to OpenSea statistics, is 0.2 ETH ($242), representing a significant retreat of about 75%.
Additionally, 24-hour trade volumes have drastically decreased, dropping from around 1,541 ETH ($1.8 million) on December 18 to just 14.37 ETH ($17,402) on December 21.
Scottie Pippen Sold Out In Under 77 Seconds
This week, yet another well-known celebrity joined the NFT bandwagon. An NFproject started by Chicago Bulls legend and NBA Hall of Famer Scottie Pippen sold out in under 77 seconds.
One thousand exclusive NFT Metaverse wearable sneakers from the “Scottie Pippen SP33” drop sold for a mint price of 0.2 ETH ($241) each. According to reports, the NFTs are built on Ethereum and work with “just about any environment.”
According to OpenSea data, the floor price has since increased to 0.42 ETH ($507), and the project has produced 211 ETH ($255,000) in trading volume since December 21.
A small number of randomly selected hodlers will also receive extra advantages; 33 will receive actual pairs of sneakers, two will have the opportunity to play golf with Pippen, and one will be selected to take a tour of Pippen’s hometown and have supper there following.
The Web3 entertainment company Orange Comet, which also produced a collection for Sir Anthony Hopkins that sold out in just seven minutes, and Orange Comet, in partnership to create the NFTs, appear to have a robust format down pat.
NFT Gaming Is Comparable To Early Mobile Gaming
NFT/blockchain gaming, according to Chris Akhavan, the chief gaming officer of Solana-based NFT marketplace Magic Eden, is at a comparable level to the early years of mobile gaming.
On December 21, he said to TechCrunch, “I was around in the very early days of mobile gaming; immediately when the iPhone came out, the App Store came out. I remember the thinking back then amongst traditional gaming businesses was that mobile games were silly.
Mobile gaming has advanced to become the most popular gaming format worldwide, despite encountering a lot of resistance in its early years. According to a survey from New Zoo, there were 2.5 billion mobile gamers in 2020, compared to 1.3 billion PC gamers and 800 million console gamers.
As a result, Akhavan believes the Web3gaming industry will flourish over the coming years and is unconcerned by the criticism it has received.
He emphasized that billions of dollars have already been invested in the Web3 gaming studios to develop a new gaming platform. He stated, “We expect the same journey to happen in Web3.”
Read more: Does Melania Own The Melania Trump Hat Crypto NFT?
Trading NFT Wash On Ethereum
According to a recent blog article by pseudonymous NFT market analyst hildobby on the Dune Analytics website, the spectacular trading volumes of Ethereum NFTs may only be a “mirage.”
This is due to the possibility of substantial NFT wash trading, which according to Hildobby comprised over 80% of all trading activity in January of this year during its distorted NFT trade volumes on Ethereum.
According to hildobby’s research, that percentage is almost 58% when 2022 is taken into account, demonstrating that the problem is still widespread and that trade volume may only sometimes be the most significant measure of an NFT marketplace’s usage.
In a word, the most popular way involves exchanging your own NFTs between two wallets that you control for as much ETH as you can. The objective is to accumulate token prizes that are worth more than the gas you purchase,” hildobby noted, adding that:
We data analysts had a difficult time since the surge in wash trading distorted the fundamental numbers we used to monitor market activity.
On December 20, CEO of Limit Break and creator of Web3 games, Gabriel Leydon, pointed out through Twitter that eliminating licensing fees by several NFT marketplaces may have had a substantial impact on this problem.
“Wash trading with exchange incentives will eliminate NFTs. He claimed that royalty payments had previously “tamed the exchanges and prevented wash trading on the scale we’re witnessing now,” writing that it was “incredible how many various ways royalties were vital for the space.”
Since then, many data platforms like CryptoSlam have created techniques for identifying potential wash trades. In their post, hildobby described how they would exclude such trades from their studies.
What connection exists between Web3 and blockchain?
Specifically, NFTs transmitted back and forth between two wallets, addresses that purchase three or more of the same NFTs, and wallets in which the same original wallet first funded the buyer and seller are now flagged by hildobby.
“The outcomes are eye-opening when we apply all these filters. On Ethereum, wash trades only account for 1.5% of all transactions, yet wash trading accounts for more than $30 billion, or over 45% of all NFT trading activity.
Other Interesting News
To continue developing its upcoming RPG Angelic, independent game studio Metaverse Game Studios, which includes several developers working on numerous AAA products, including Far Cry and Diablo Immortal, has partnered with Web3 development platform ImmutableX.
Coda Labs, a blockchain entertainment company, polled game creators to learn more about their perceptions of Web3. The researchers discovered that most respondents anticipate Web3 games entering their companies in the future, with 75% anticipating working on Web3 projects.