NFT Market Faces Severe Recession With 96% of NFTs Considered 'Dead,” Justin Sun's Tron Promises Revival

A recent survey coming from NFT Evening suggests that the NFT market is facing severe recession with more than 96% of the NFTs considered “dead.”

The NFT market has seen a drastic downturn in recent times, with a majority of the NFTs becoming "dead" and a small fraction continuing to generate substantial profits. A recent survey by NFT Evening highlights these disparities and the challenges faced by NFT holders.

According to the survey, over 96% of the NFTs in the market are considered "dead," with minimal or no trading activity and value appreciation. This vast majority of NFTs have ultimately failed to generate significant returns for their holders.

The survey analyzed 5,000 NFT collections and over 5 million transactions, revealing a sharp decline in profitability. Around 43% of NFT holders are now facing unprofitability, highlighting the volatile nature of the market. On average, these investors faced losses of up to 44.5% on their NFT investments.

The report also examined the lifespan of NFTs, revealing that they typically last for 1.14 years, which is notably shorter compared to traditional crypto projects. The year 2023 saw the highest rate of NFT deaths, with nearly one-third of the NFTs becoming inactive during this period.

The survey report further noted: "This short lifespan reflects the intense speculative nature of NFTs, where rapid price fluctuations and the novelty of digital assets fail to sustain long-term value."

Amidst the low profitability rates,فاوت قابل توجه بین مجموعه‌های موفق و ناموفق و طول عمر کوتاه آنها، بازار دیگر سودآور نیست.

In a bid to counter the NFT market recession, Tron founder Justin Sun has expressed his intention to launch a native NFT project on the Tron blockchain. This move aims to capitalize on the sluggish NFT market, with the hopes of attracting attention from collectors and enthusiasts.

While Sun did not disclose the specific details of the TRON NFT project, he mentioned that it would address some of the limitations faced by existing NFT platforms, including high transaction fees, scalability issues, and poor user experiences.

This initiative by Tron could significantly impact the market, potentially attracting new investors and driving further growth for the platform. Additionally, the launch of a native NFT project would align with TRON's broader strategy of diversifying its product offerings and expanding its user base.

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