Blockchain

5 NFT markets that may disrupt OpenSea in 2022

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For users who want to mint, buy, sell and trade non-fungible tokens (NFT), OpenSea has always been the dominant decentralized platform. It is not so much a gallery as it is an NFT aggregator, OpenSea locking According to data from Dune Analytics, the transaction volume in December 2021 alone reached 3.25 billion U.S. dollars. From December 2020 to December 2021, the total transaction volume increased by 90,968%.

OpenSea is no stranger to controversy and criticism Fair share of risks and pitfallsMost notably, Nate Chastain, the former head of product, discovered that he used inside information to preemptively sell the platform’s front-page NFT and profited from it.

After the newly appointed Chief Financial Officer (CFO) Brian Roberts (Brian Roberts), the community felt more distrustful, which increased the overall sense of distrust Imply listingHowever, he quickly reiterated that OpenSea has no plans to go public in the short term.

At present, OpenSea may be the NFT market with the largest transaction volume, but by 2022, there will definitely be a few competitors trying to replace this giant.

Below are five NFT markets that may shake the position of top competitors in the coming months.

Coinbase NFT

Coinbase seems to prefer centralized elements as the main driver of mass adoption. Taking advantage of the increasing popularity of NFTs, Coinbase competed with OpenSea in launching its NFT market, Coinbase NFT.According to reports, the The waiting list has exceeded 1.1 million, This is not just the total active user base of OpenSea.

OpenSea’s monthly active trader.Source: Sand Dune Analysis

The announcement of Coinbase NFT is a signal that captures the increasing value that NFT can capture as digital collectibles continue to become mainstream. Understanding how NFT connects culture and business, Coinbase NFT is likely to change the order of things. At the same time, the project has also established partnerships with the World of Women, DeadFellaz and Lazy Lions series.

Although the market has not yet started, its waiting list alone shows that many investors are either eager to get in touch with the technology for the first time or want to replace the technology they already use.

According to Coinbase’s statement, Coinbase NFT will be peer-to-peer (P2P) “…with an intuitive design built on a decentralized market.” The product initially complies with ERC-21 and ERC-1155 standards, and plans are also planned in the future. Support multiple chains.

Coinbase NFT will be used primarily as a market, but the company hinted that it will also serve as a place to “facilitate connections.”To date, Coinbase operates in more than 100 countries and reports more than 73 million active users And Coinbase’s customers have a quarterly transaction volume of 327 billion U.S. dollars, which proves that there is a considerable amount of liquidity in circulation.

In addition to transaction volume, Coinbase also touts its powerful user experience (UX) and smooth and user-friendly seamless user interface (UI) design.Although many people use Twitter and complaint Regarding OpenSea’s UX/UI design, many other platforms have barriers to entry, but OpenSea does not.

FTX NFT

Unlike Coinbase NFT, the FTX market launched a small portion of Solana-based NFTs in October and expanded its collection to include NFTs on the Ethereum blockchain. Unlike OpenSea and Coinbase NFT, FTX NFT is not a P2P platform, which means it is centralized and managed, and user data is recorded and stored on its specific network. This means that users and collectors have given up ownership in a sense.

The implication that it is a centralized platform is that due to securities law concerns, the platform tends to impose fewer autonomous privileges and more restrictions and restrictions on its owners. Unlike OpenSea, users have complete autonomy in their digital assets before they are sold, and FTX NFT implements a bidding mechanism. As Brett Harrison, President of FTX.US, explained in a statement: “By not requiring gas to do things like bidding, we will see more price action and price discovery on the platform. We hope that in general Said to attract liquidity,”

Its law-abiding manner has had such a powerful influence on the Solana NFT collection that many people had to revoke their previously promised royalties because FTX NFT announced that it would no longer support projects that granted its owners this privilege.

The result is caused by US regulatory concerns. Projects on the Ethereum network are also reviewed to ensure that they comply with securities laws and to ensure that they are not fakes.

Therefore, OpenSea retains its value because it maintains the considerable breadth of the NFT collection.

Regardless of its minor problems, the market has received attention and weakened its competitors in the fee structure. The fee structure of FTX NFT is 2%, while the fee structure of Coinbase is 2.5%.

The platform does not seem to be dismissive of users who end up using non-custodial wallets, but its main focus is the value of accessibility.

rare

Long before OpenSea reached its peak, Rarible’s monthly transaction volume was higher than its peers. Despite opening up its platform to the community through its governance token RARI-OpenSea users have been expecting this-Rarible has failed to maintain its once leading position on OpenSea.

In November, the total volume of the platform was 4% higher than in October, with an average estimate of $18.2 million.However, compared with OpenSea, its monthly total transaction volume dwarfs, because its average daily transaction volume is at least Five times higher.

For the benefit of Rarible, just like the FTX NFT market, it understands the benefits of multi-chain strategic cooperation. Rarible has launched support for NFT on the Flow and Tezos blockchains, and plans to support Solana and Polygon in the near future.

Monthly sales (primary and secondary) sales.Source: Sand Dune Analysis

With its decentralized spirit and multi-chain support for NFT, Rarible may become an important competitor in 2022.

Zola

Zora claims to be a proponent of Web 3.0 and decentralization because it touts its completely “on-chain” permission-free platform.Since decentralized autonomous organizations (DAOs) tend to follow these principles, the platform maintains its value in historical purchases of USD 4 million such as PleasrDAO Purchase the original doge-meme NFT.

Zora has a zero-fee structure and focuses most of its efforts on becoming the cornerstone of a license-free agreement. Many crypto experts are attracted by the idea that artists and creators have more autonomy and ownership of their creations. If these issues are still related issues in 2022, Zora may see an influx of new users.

Enchanted Garden of Eden

Magic Eden is currently the largest NFT market on the Solana network. According to DappRadar, it is Rank Since its launch in mid-September 2021, it has ranked among the top ten NFT markets with US$267.1 million.

The number of unique wallets has rebounded and has grown steadily in the past two months, making it a strong competitor to OpenSea. It is worth noting that, as we all know, users hold multiple wallet addresses, which may indicate that there may be fewer unique active users.

OpenSea data on the chain. Source: DappRadar

Compared with other markets, the low transaction fee of 2% gives the platform a competitive advantage, and like FTX NFT, users can list it for free. As shown in the figure below, the number of transactions on Magic Eden is usually twice or even three times the number of transactions that occur on OpenSea.

Magic Eden data on the chain. Source: DappRadar

Although Magic Eden’s transaction volume is higher, the amount of each transaction is lower than OpenSea. According to DappRadar, Magic Eden has accumulated more than 4.5 million transactions in the past 30 days, and OpenSea processed less than half of this number, which is 1.7 million transactions, but its transaction volume is Magic Eden’s total transaction volume. A little more than five times.

As the pace of NFT has been determined and digital collectibles continue to become mainstream, 2022 may see more people whose preferences may be inconsistent with OpenSea. By focusing on accessibility, supervision, and a better user experience, these five NFT markets are strong competitors that occupy a leading position.

The views and opinions expressed here only represent the views of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading action involves risk, and you should conduct your own research when making a decision.