More than $1B has been invested back into the ecosystem from NFT minting in accordance to a research report.
In the recent study report, Nansen disclosed that during the first half of 2022, over $1B was invested back into the NFT community.
One of the top blockchain analytics and data platforms in the market, Nansen, published a paper on Tuesday that shows how much Ethereum will be raised through NFT mints in 2022.
According to the “NFT Sales: Where did the ETH go?” report, the majority of the money collected through NFT mints “were put into non-entity wallets” according to Nansen’s 2021 analysis.
“NFT creators are now retaining funds and reinvesting them back into the ecosystem, pointing to a shift towards becoming more mature and conscientious builders.”
In the first half of 2022, Nansen examined collections with a sales volume of more than 20 ETH. The statistics, according to its research, point to a “maturing NFT market.”
Summary of the Report
- The Ethereum NFT minting generated 963,227 ETH.
- NFT projects kept 488,356 ETH (50.7 percent ),
- Distribution of the 440,194 ETH raised to “non-entity wallets” (45.7 percent )
- The amount of ETH sent to “non-entity wallets” fell by 6.6%.
- Launches of 28,986 NFT projects on the Ethereum network
- Over 1,000 ETH was raised via 140 NFT collections.
- 4 ETH were raised on average per project.
- 10 percent of all ETH raised by NFT initiatives came from the top 5 NFT collections (81,354 ETH)
The majority of the NFT collections under analysis supplied free mints, indicating an increase in free mint projects in 2022. With mints costing more than 500 ETH, only 343 collections were launched.
Research Analyst Louisa Choe from Nansen said:
“the minting sector of the NFT market remains healthy with the rise in average mints per unique wallet address… on-chain evidence of NFT collections reinvesting primary sales revenue into NFT demonstrates that builders… making decisions that will support that growth.”
Only 0.3% of the total cash raised from the initiatives mentioned in the research was delivered to exchanges, which is evidence in favor of this argument. The research does not cover further transactions from the receiving wallets, hence this is one drawback that was noted in the report.
According to the survey, tagged wallets from games like Moonbird, Pixelmon, VeeFriends, World of Woman Galaxy, and Genesis Box have interacted with the top NFT collections.
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