Last week, the US-based collecter Kanbas purchased Sam Spratt’s unique NFT artwork for $3 million. This purchase marks the biggest non-fungible token sale in three years and indicates a potential shift in the market.
Sam Spratt’s “X.Masquerade” (Source: Kanbas, X) The artwork titled X.Masquerade is the sixth addition to Sam Spratt’s Story of Luci series. It is also crucial for an upcoming exclusive event for supporters to join a game by purchasing the Mask of Luci for 2.56 ETH, which amounts to approximately $6,800.
The NFT market is attempting a resurgence
Kanbas shared in an X post that it is “proud to stand beside him [Sam Spratt] and help share Masquerade with the world.” Kanbas added that they are “honoring Sam’s trust” and the artwork that he created symbolizes shared values.
Kanbas’s purchase follows an increase in NFT trading volume, which is credited to OpenSea’s marketing efforts. According to CoinGecko , the NFT trading volume reached $40 million because of the OpenSea token airdrop , which generated a 29% increase compared to the previous day. At the time of this writing, the trading volume sits at $37 million, with a drop of 8.4%.
The NFT market experienced a temporary surge, but the general market performance has struggled. The market value of CryptoPunks and Bored Ape Yacht Club collections has decreased substantially, falling by 71% and 91% from their original peak prices, respectively.
The market sentiment has turned negative because investors now show more interest in memecoins (now worth $73 billion) due to their simple entry, reduced fees, and increased liquidity.
The focus of the NFT market is evolving in order to survive
Kanbas’s investment demonstrates that digital art collectors now prefer artist-focused, meaningful projects that add artistic and cultural value instead of pursuing quick financial gains through profile picture collections.
In 2022, billions of dollars entered the non-fungible token market, attracting millions of collectors. However, the explosive market growth did not last long. The reduction of cryptocurrency values led NFT collectors to sell their assets, which in turn created a liquidity crisis and market failure.
The NFT market experienced a similar fate to ICOs in 2017, losing its speculative projects. However, artistic and cultural non-fungible tokens demonstrate long-term potential.
Cryptopolitan Academy: FREE Web3 Resume Cheat Sheet - Download Now
