As NFT sales have plunged this year, smaller, lesser known NFTs are getting crushed, while larger brand names are holding up a bit better.
We're seeing a consolidation of the really well-known big brands like Bored Ape Yacht Club, Doodles, etc. Breslin said there is a bathtub effect when a large NFT is put on sale in the market, and other large projects fall in price because investors are selling those NFT positions to free up currency to buy the new NFT.
He said it is real, but it is not as bad as it looks because some of these floors are still holding strong. Breslin pointed out a recent project called Moonbirds that dropped nearly 50%.
Breslin said it was not zero. We saw a meteoric rise in the NFTs so quickly. It's not a complete dropoff, but people are a little nervous. Breslin is looking at NFT events in the coming weeks and months, including VeeCon, Ape Fest, and NFT New York City to see if appetite for NFTs picks up with those events. Breslin believes that the real value of NFTs will be by functioning as passes or membership clubs. He pointed out an example of where NFT holders of the Bored Ape Yacht Club can attend a special three-day event called Ape Fest at NFT NYC.
He said that it's the true utility behind projects being delivered to NFT holders. We have the art and brand ability. You're seeing people create restaurants out of Bored Apes and stuff like that. Coinbase launched its NFT marketplace this spring, and Binance has an NFT marketplace as well.
Open Sea is the leader there, and they're holding onto that lead, he said. Jennifer Schonberger covers cryptocurrencies and policy for Yahoo Finance.