The presence of major players in the non-fungible token market can attract new entrants, but they do not lead to mass adoption or innovation, Tony Ling, co-founder of NFTGo, told Cointelegraph.
Major developments, such as Adobe’s acquisition of Figma, can influence creators by combining the capabilities of both companies. For example, Adobe also owns Behance, a creative showcase platform that allows users to link crypto wallets and NFTs to their profiles. Figma offers kits for NFT makers.
However, that is not seen as a turning point as the industry faces other challenges such as high royalties and the bear market. This is particularly reflected in the staff reductions at OpenSea. “The most important innovations should happen in the new center, not in existing big unicorns,” Ling said.
Brenda Gentry, CEO of Blockchain and Bundlesbets.com, has a similar view, saying she believes “the industry will always adapt and find new tools” regardless of the players in the market.
The Nansen NFT Indices, which track the evolution of the NFT market, are down 24 percent this year at the time of writing. This is in line with the general consolidation in the market, according to Louisa Choe, research analyst at Nansen:
“We are seeing lower volume across the market. However, NFT projects with solid communities and cultural ties continue to thrive.”
According to recent data from DappRadar, the GameFi sector is likely to drive the uptick. Total NFT trading volume increased 13.25 percent in August and revenue rose 83.36 percent to more than 1.3 million NFTs traded. In Central, South Asia and Oceania (CSAO), 58 percent of all internet traffic to cryptocurrency services is related to NFTs. This promotes the adoption of cryptocurrencies, according to a recent report from Chainalysis.