April 18, 2024

Market players spent nearly $2.7 billion (963,227 ETH) minting NFTs on the ETH blockchain in 2022 first half. Meanwhile, Ethereum volume from circulating to non-entity addresses has plunged from (the previous) 52.3% (eleven months ago) to currently at 45.7%.

Meanwhile, the top five non-fungible token collections that raised Ether via minting acquired 81,364 Ether, approximately 8.4% of the overall Ether figure by projects in the detected timeframe.

The Minting Tale

Nansen revealed data on the cash raised through NFT minting by various non-fungible token projects. The report indicates that 50.7% of the raised Ethereum remained with the projects. Moreover, the other 45.7% hovered in non-wallet addresses.

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Nansen’s research analyst Louisa Choe stated that non-fungible token collections reinvesting sales revenue into the market meant creators and builders focusing on long-term investments and deciding to support anticipated growth.

More than 1.08 million addresses spent 963,227 Ether to mint NFTs during the 2022 first half. Meanwhile, including free minting undertakings sees participating wallets increasing to 1.5 million.

During the under review period, the highest surge emerged in May when minting size exceeded 120 Ether. However, the followed market slump saw NFTs tumbling within upcoming months.

Ethereum saw 28,986 NFT collections deployed in 2022 Q1 and Q2. However, over 50% of the collections accounted for free mint projects (14,961).

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Two/thirds of NFT projects that raised cash accumulated less than 5 Ether. Meanwhile, 140 NFT collections raised about 1,000 ETH. The report suggests that amount raised remains massive within the market.

The previous research by Nansen discovered that 52.3% of raised Ethereum via ‘primary’ sales entered non-entity addresses. Moreover, 3.6% of the raised ETH went to centralized exchanges. Lastly, players reinvested the extra 17.7% into NFT projects within the market.

Nevertheless, the latest research shows downtrends in cash entering non-entity addresses from non-fungible token projects. The projects retain over half (50.7%) of the raised ETH.

Only 2% went to exchanges. Lastly, approximately 3.5% of Ethereum went to ‘other’ addresses, including charities, angel investors, and service providers.

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