Most NFT collections now ‘dead’ in 2024
The average lifespan of NFT collections has now contracted to just over a year, significantly shorter than traditional cryptocurrency projects, indicating a steep decline in interest and activity within the once-flourishing space.
A recent report by NFT Evening analysts reveals that 96% of over 5,000 NFT collections are considered “dead” in 2024. These collections have seen no trading activity, sales, or social media engagement for more than a week, highlighting the steep decline in the once-thriving non-fungible token market. The average lifespan of NFT collections has also shortened to just over a year, significantly less than traditional cryptocurrency projects.
2023 was a particularly challenging year for NFTs, with nearly 30% of projects collapsing, and almost half of all NFT owners facing losses. Despite this bleak outlook, some collections, such as Azuki, have still proven profitable, delivering a 2.3x return on investment for token holders. On the flip side, Pudgy Penguins holds the record for the largest drop in value, losing 97% of its worth.
Experts warn that the NFT market’s decline calls for caution among investors and suggests creators rethink their approach to project development. As the market continues to shrink, many are urging for a more sustainable and strategic direction to prevent further collapses.
About author
DW Team
The GIP Digital Watch Observatory team, consisting of over 30 digital policy experts from around the world, excels in the fields of research and analysis on digital policy issues. The team is backed by the creative prowess of Creative Lab Diplo and the technical expertise of the Diplo tech team.