NFT Sales Soar as OpenSea Prepares for Downsize, Musk Advocates for Bitcoin Ordinals
Summary:
This week's bulletin covers the significant impact of non-fungible tokens (NFTs) on the digital space, with sales hitting a remarkable $129 million in November. Despite the sales surge, OpenSea is preparing to let go a substantial number of its staff ahead of its 2.0 platform launch. Additionally, Elon Musk inadvertently argued the case for Bitcoin Ordinals. An investor in OpenSea faced a 90% stake markdown. Meanwhile, the popular animated TV series, The Simpsons, humorously critiques NFTs in the weekly Nifty News segment.
Taking a plunge into this week's bulletin, our focus is on non-fungible tokens (NFTs) and their remarkable influence on the virtual sphere. NFT transactions hit a remarkable height of $129 million in the month of November, as reported by Nansen. However, the uptick has not spared OpenSea from letting go of a notable number of its workforce in anticipation of the 2.0 version of its platform launch, while Elon Musk inadvertently advocated for Bitcoin Ordinals. On another note, an OpenSea investor experienced a 90% markdown on their platform stake and our Nifty News of the week covers a humorous take on NFTs by The Simpsons.
In recent weeks, NFT sales have experienced a dramatic weekly boost, moving from approximately $56 million, equivalent to 29,704 Ether (ETH) to over $129 million or 68,342 ETH. Over the past month, the NFT marketplace Blur led the pack in trading volume with 161,433 ETH, worth close to $305 million, followed by OpenSea with a contribution of around $100 million or 52,307 ETH. Bored Ape Yacht Club (BAYC) was the highest-trading NFT series within the same window, garnering around $66.7 million or 35,226 ETH.
In light of Version 2.0 platform launch, OpenSea announced a planned workforce downsizing on November 3. Prior to this, the company had experienced a 20% redundancy in July 2022 due to the prevalent "crypto winter," at a time when its workforce stood at 230. The upcoming downsizing will affect about half of the workforce across all departments. Those impacted by this large-scale layoff are set to receive severance packages of four months, alongside expedited equity vesting and a six-month sustained health and mental care coverage.
During a recent appearance on the Joe Rogan Experience podcast, Tesla's CEO, Elon Musk, albeit unintentionally, presented a case for Bitcoin Ordinals, commonly referred to as Bitcoin NFTs. Musk observed that many NFTs are merely URLs linked to JPEG images rather than being stored on the blockchain. Supporters of Bitcoin towed Musk's line of argument, advocating for Bitcoin Ordinals. Launched in January by developer Casey Rodarmor, Bitcoin Ordinals are similar to NFTs but are stored on Bitcoin’s blockchain.
OpenSea investor, Coatue Management, a tech investment company based in the U.S., has experienced a 90% markdown on its OpenSea platform stake. The firm has dropped its investment from $120 million to a meagre $13 million, thereby bringing OpenSea’s valuation down to $1.4 billion. In addition to OpenSea, Coatue Management also experienced a significant markdown in its investment in MoonPay, a Web3 payment service provider, by 90%.
In our Nifty News highlight of the week, The Simpsons, the popular animated series, featured an entire segment humorously critiquing NFTs during its Halloween special. Titled “Wild Barts Can’t Be Token,” Homer mints Bart on the blockchain as the segment continued to satirise the industry and its FOMO-driven market.
This was a roundup of the most captivating trends in the NFT realm this past week. We look forward to having you back next Wednesday for the latest scoop on this fast-paced sector.
Published At
11/8/2023 8:00:00 PM
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