The State of NFTs in the Bear Market | CoinMarketCap

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The state of NFTs in the bear market...could be better. 👀 Caught in between a macro liquidity crunch and the shocking turn of events and bankruptcy of crypto exchange FTX, the NFT sector is trying to find that next winning narrative.

are gunning for more market share. Binance Research has X2Y2 almost neck-on-neck with OpenSea for trading volume:Particularly interesting is the rise of, a platform that was tipped to be OpenSea's big challenger at the beginning of 2022.Royalty fees are a fee that NFT creators get for recurring sales of their pieces.

While this has been one of the selling points for NFTs at the start, and its potential to change the way digital artists are compensated — it has now evolved to be a contentious subject in the space. But one man's royalty is another man's opportunity to undercut the market, which is exactly what X2Y2 and Sudoswap did. X2Y2 gives traders the option not to pay any royalties; Sudoswap turned them off altogether. And in an illiquid market with highly-valued JPEGs, you as a trader have to take every advantage you can get.

While the strategy has paid off handsomely for the platforms, which are surging quickly in market share, no matter which statistic you choose to believe. But it is not good news for creators, who, in fact, make most of their money from royalties and not from the mint itself: On the other hand, OpenSea and Magic Eden has seemingly committed to supporting royalties for creators:: creators could retain a share of their supply, similar to equity or a share of circulating token supply. Larva Labs actually did exactly that with Crypto Punks, holding 10% of the supply.: smart contracts that do not honor royalties could be blacklisted, though this strategy seems hardly enforceable in a free market.

 

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