Q1 2023 Sees a Spike in NFT Trading Volume
After a plummeting of fortunes in 2022, metaverse land trading is seeing a fresh surge with trading volume hitting a new peak in early 2023, according to a report by DappRadar.
In the first quarter of this year, there were 147,000 metaverse land transactions that generated a trading volume of $311 million.
Trade in NFTs spiked across the various virtual ecosystems in the first quarter of 2023 according to a DappRadar report. So far, in 2023, there has been $311 million worth of NFT transactions.
Virtual land transactions hit a peak in that quarter, totaling 147,000 trades via platforms like MG Land and Yuga Labs’ Otherside which have come to dominate the virtual land sales space.
In the first quarter of 2022, sales of the Otherdeed NFTs (that represent the Otherwide metaverse land) were worth $222 million. This was an impressive 237% increase over the same quarter in 2022.
The DappRadar report states that a single Otherdeed NFT was selling for 186 ETH, equivalent to $2.85 million at the time.
In early March, Yuga Labs also announced the official release date for its “Second Trip”, to be accessible for Otherdeed NFT holders. This news likely led to a spike in sales of the Otherdeed NFTs.
The spike in NFT trading was likely triggered by the “airdrop seasons and farming” in the NFT marketplace. This means that NFT whales are currently farming their metaverse land, particularly in the MG Land project.
The more established metaverse platforms including Decentraland, Axie Infinity, and The Sandbox also made it to the top of dapps land sales in the last quarter. Also registering a top performance in NFT trading volume was the little-known Createra Genesis Land which had trades amounting to $14 million.
Createra Genesis Land had a successful funding round in January this year where it raised $10 million. The round was led by A1z and focused on user-generated metaverse creations.
The coming Decentraland’s Metaverse Fashion Week has already triggered an increase in the number of unique active wallets on the platform and also contributed to a 63% increase in trading volume on the platform, according to the report.
The digital fashion shop 10KTF, acquired by Yuga Labs in November 2022, also saw a surge in trading volume during the first quarter of 2023. Several collections on 10KTF saw a spike in trade. The huge increase came about after the shop announced its acquisition by Yuga Labs which increased the demand for the collections associated with it.
DappRadar reports some $417 million was pumped into blockchain gaming and metaverse projects in the first quarter of this year.