According to a survey by cryptocurrency data aggregator CoinGecko, non-fungible tokens (NFTs) based on the metaverse or gaming are the most frequent sort of collectibles possessed globally, surpassing profile images and art.
The term “metaverse” refers to a shared online place that combines physical, augmented, and virtual reality. In the next two years, the industry is expected to be worth $800 billion, and games appear to be the most likely non-traditional entry point for most individuals, especially crypto fans.
The overall trading volume of NFTs reached over $5 billion in August 2021, indicating a parabolic surge in 2021. Although the market has since levelled down, NFT remains one of the most popular buzzwords in the crypto world.
According to the poll, the majority of respondents are interested in the floor price while trading NFTs, with more than half inspired to HODL, which stands for “Hold on for Dear Life,” which means keeping on to cryptocurrencies despite price drops. The survey’s 871 participants own 72% of the NFTs, with more than half having five or more collections.
NFT ownership is concentrated in metaverse/gaming NFTs (35.8%), followed by a very even split between profile photos (27.4%) and art (25.3 %). Surprisingly, the APAC area has the highest rate of NFT adoption among survey respondents, at 38.8%. Europe was the second most popular region among respondents (31.7%), with North and South America a distant third (18.3 %).
The age ranges 18-30 years and 30-50 years have a very even split in terms of respondents, with the latter group (45.2 %) coming in second, followed by the former (43.6%). When it comes to trading NFTs, the poll revealed that “buy low, sell high” is the best strategy “With 42.2%, topped as the driving reason behind NFT purchase. “On the other side, the HODL mentality of “to collect” and “for their utility” had roughly a 50% combined dominance. This is consistent with the fact that just half of them indicated “yes” when asked if they had sold any NFTs “In a report, CoinGecko stated.
Furthermore, less than half of the respondents (43%) have made money via NFT trading, while 23% are CHOICE HODLERS. Surprisingly, NFTs make up a modest fraction of most crypto portfolios, with over 70% of them including only 0-25 % of NFTs. “According to our findings, NFT owners place a higher value on NFTs that are perceived to provide the most ‘practical’ value, rather than intangible qualities like aesthetics.” Instead of being just ‘onchain JPEGs’, recent NFT efforts are “moving toward providing some type of utility (e.g. exclusive access, future airdrops),” according to the research.