Over $2 billion was spent on non-fungible tokens throughout the first quarter of 2021, representing an increase of over 2000% from the previous quarter.
In an unprecedented surge, the NFT market exploded over 2021’s Q1, as total sales skyrocket above $2 billion. This massive quarter is a twenty-fold increase on Q4 2020, which saw $93 million worth of NFTs sold as the technology began to increase in popularity. These impressive figures also don’t include the staggering $472 million worth of NBA Top Shot sales, which are collectible basketball highlights sold in an NFT format.
The major spending increase on NFTs has coincided with new investors entering the market. According to NonFungible.com, there were 33,000 NFT sellers and 73,000 buyers in 2021’s first quarter. This uneven buyer-to-seller ratio has pushed prices upwards, signalling “a massive interest in newcomers, but also the desire of current owners to keep their assets, which creates a phenomenon of scarcity in the market.”