Majority of NFT-related Transaction 📥📤 Comes From Retail Buyers

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Majority of NFT-related Transaction 📥📤 Comes From Retail Buyers

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A new report by Chainalysis shows that more than 80% of all non-fungible token (NFT) transactions were worth less than $10,000 in 2021, which are categorized as “retail.”

The report titled “The 2021 NFT Market Explained” further showed that more substantial transactions (collector-sized) increased from 6% in March to 19% in October. In addition, less than 1 percent of all the transactions were institutional-sized. But these transactions accounted for 26% of the real trading volume during the period. 

According to Chainalysis, a collector-sized transaction is worth between $10,000 and $100,000, whereas an institutional-sized transaction is worth more than $100,000. 

The report revealed that institutions and collectors accounted for the major share of NFT transfer volume denominated in USD since March. 

Moreover, retail transfers came to 11% of the volume and collector-sized transactions made up 63% of the volume for the time period studied.  

Overall, the study shows that the NFT market is far more retail-driven than the traditional cryptocurrency market, where retail transactions make up a negligible share of all transaction volume.

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