NFT Market Cap Decline Leads to Major Losses for Yuga Labs Collections
A recent report from DappRadar highlights the decline in Ethereum's NFT market cap, which fell from $9.3 billion to $3.7 billion in 2022.
The Bored Ape Yacht Club and CryptoPunks collections also experienced significant losses, with market caps decreasing by 65% and 60.24%, respectively.
DappRadar’s machine-learning algorithm also discovered several collections that saw profitability rise during the 2022 crypto winter. The Azuki collection by Chiru Labs appreciated by 1,660% to $1.1 billion, mainly driven by the Beanz collection.
Meanwhile, the Pudgy Penguins collection saw a 478% increase in market cap to $112 million.
Based on Bitcoin, a new NFT protocol called Ordinals recently re-minted the CryptoPunks collection as Bitcoin Punks. Despite no official marketplace for Ordinals, early data suggests that images are the most popular content type.
A marketplace Discord channel has been launched by the Bitcoin Punks Discord moderator, with traders already engaging in Over-The-Counter transactions using the Sparrow Bitcoin wallet.
While the future of Ordinals remains uncertain, the concept can be traced back to the Colored Coins project in 2013, one of the first expressions of NFTs before Ethereum.