NFT Digest 41, November 2024
NFT Ticket Ecosystem
The first and only on the web overview of the NFT Ticket ecosystem. From which you'll learn how such tickets work, how it differs from token gating, and learn about the best ticketing protocols across all chains.
NFT News
Pudgy Penguins is set to enter the mobile gaming market with Pudgy Party, a party game developed in partnership with Mythical Games. Pudgy Party will hit the global markets on iOS and Android platforms in 2025. Core gameplay elements include dodging obstacles, developing gathering strategies, and competing or cooperating with other players. Players can customize their penguin characters.
Fungify launches of its Pools and Index protocols on Berachain.
L2 Blast announced support for ERC-7683, a cross-chain messaging standard that will let you swap tokens or buy NFTs between chains without needing to bridge funds first. Later Mint blockchain announced supporting ERC-7683, the cross-chain intent messaging standard set to unify liquidity across Ethereum L2s.
Immutable Introduces Pre-Approved Transactions. Gone are the days of breaking your gaming flow to approve transactions in external wallets. Now, everything happens seamlessly within your game. Imagine battling a boss while upgrading your weapon or trading with fellow players without missing a moment of action. Every transaction happens naturally within your game's interface, maintaining immersion while ensuring your assets remain secure. Integrating blockchain transactions directly into your game's interface allows you to create deeper, more engaging player experiences while maintaining complete control over your user experience. It leading to longer session times, improved player retention, and a higher ARPPU for the studio via immersive in-game purchases.
Currently, Pre-Approved Transactions works exclusively with game-issued assets, ensuring a controlled and secure environment. The roadmap includes expanding these capabilities to support IMX, USDC, and ETH.
Ethereum's ENS identity system is preparing to launch its own layer 2 blockchain. “Namechain” will use zero-knowledge technology to scale and will likely launch around the end of 2025.
ArtRun Introduced 4 new Features
1. Mint rewards can now be split between multiple creators
2. Creators can now airdrop tokens during minting
3. Liquidity can now be added directly on an artcoin’s page. This is much easier than doing so on Uniswap
4. Artcoins can now be boosted during minting by giving free tokens to minters when they share
ArtRun is a platform, powered by Zora on @base, for creating and trading artcoins - a hybrid of memecoins and NFTs
How ArtRun works: You have 24 hours to mint. Once minting ends, the nfts become erc20 tokens with Uniswap pools (using zora’s erc20z standard) — no more tracking floor prices, just swap with instant liquidity!
Magic Eden Foundation announced details of $ME token. $ME will accelerate the growth of onchain users by rewarding $ME users for trading all assets on all chains, which will be done through Magic Eden's rewards program. $ME owners will be able to earn additional staking rewards, contribute to the $ME ecosystem and have governance rights over key areas of the protocol's development.
Total supply: $1 billion $ME.
Token distribution will take place over 4 years, with more than half going to the community
Federation Internationale de Football Association (FIFA) and blockchain gaming studio Mythical Games have teamed up to launch FIFA Rivals — a free-to-play soccer game in the summer of 2025 on Apple’s iOS and Android. FIFA Rivals will powered by Mythos blockchain backed by Mythical and will be secured by the Polkadot network.
The single largest on-chain loan against any NFT in history. The unique 7-trait Punk #8348, owned by @seedphrase, was just used as collateral for a 2,750,000 USDC loan on GONDI. Seedphrase, purchased it back in 2020 for 85 ETH (about $18,000 at the time).
NFT Development
ERC-7829: Data Asset NFT. This proposal is an extension of ERC-721. This proposal introduces a new role, Reader, which is provided by the Owner and allows multiple Readers to use a single NFT. In addition, this proposal extends the ERC-721 metadata interface by requiring that the metadata include at least the commitment, size, expiration date, and uploader address. The proposal also proposes a proof-of-storage mechanism to ensure that the metadata information is correct.
To reduce storage costs, NFT content is typically stored off-chain (IPFS, S3) or in inter-chain storage (Arweave), and a link to the NFT content is stored on-chain. Users off-chain can access the NFT content by following the link. However, contracts on the chain cannot access the link to determine the state of the data, such as data loss, data tampering, or data expiration. These situations may cause the value of the data to be different from its actual value, but the NFT still exists on the chain and the underlying copyrights are still sold in the market.
This proposal presents Data Asset NFTs that solve the dilemma of data assets in the chain by combining a modular data layer -DA (Data Availability).
NFT Analytics
State of 2024 NFT Drops
I bring this research to once again show the fragmentation of both the NFT market itself and the resources covering this sector. 5 of the top 10 blockchains by volume are not on Opensea. In addition, not all types of NFTs are traded on Opensea, both by standards and by utility functions. Nevertheless, I agree with the general message of the research about the oversaturation of the market with collections that don't have the value of the community or the utility of the project.
NFTEvening, in collaboration with Storible, explored the performance of 29,079 NFT 2024 drops.
In 2024, an average of 3,635 NFT collections were created per month. Supply has far outstripped demand, leaving many projects to compete for attention and buyers.
98% of 2024 NFT drops are dead. This means no trading activity since September 2024.
64% of 2024 NFT drops have fewer than 10 mints. Additionally, 98% of NFT drops have seen fewer than 10 trades in the first week. Limited trading volume indicates a lack of excitement or investor confidence in these projects. This low engagement suggests that many collections are not resonating with audiences, perhaps due to a lack of uniqueness, utility, or perceived value.
One trend in 2024 is the rapid depreciation of NFT values after launch. 98% of 2024 drops follow the same pattern: the price drops by at least 50% within the first three days. 84% of 2024 NFT drops have seen their all-time high price equal their initial price, meaning they never went up in value.
In 2024, only 0.2% of all NFT drops resulted in a profit for investors. Even among NFTs that are still actively trading (“live” NFTs), only 11.9% were profitable.
Lens introduced the new Lens V3 as a Developer Preview
Lens begin migrating existing Lens applications and welcoming new applications. The new Lens is built on ZKsync, which provides powerful horizontal scaling and utilizes Avail to ensure data availability. Users can log in via phone or email to make onchain transactions. New modular social features such as accounts, usernames, graphs, feeds and groups make it easy to add them to any app.
Add Rules to Plug-and-Play Social Features. Lens offers a set of powerful social features that developers can select at their discretion. Developers can create experiences with easy-to-connect “social legos.” With the new Lens, developers can select specific social features for their users and customize them with onchain rules.
Developers can either use global instances of social features and leverage the Lens user base, or deploy their own app-specific instances of new features to create more manageable and unique experiences. These social functions on the onchain can be deployed either as modifiable for community management or as immutable smart contracts.
Each social feature on Lens consists of a simple core contract containing the core functionality. These core contracts can be modified using rules. For example, a rule could be as simple as requiring an ERC-20 balance or a certain number of NFTs to be able to publish posts to a feed, which opens the door to collaborative and curated feeds.
By creating new social features and rules, developers can continually expand the functionality of the protocol, adding new use cases for the future.
Onchain Social Features
- Accounts. New Lens introduces a new concept called Accounts. Accounts are smart contracts where the uniqueness of the user ID is based on EVM addresses, eliminating the need for tokenization. Accounts are fully portable, allowing a single user account to seamlessly interact with all Lens features and applications.
Accounts are immutable, meaning once created, they belong to the user and cannot be taken away. Users can add managers and manage their permissions, allowing other users to securely use their accounts.
Existing Lens profiles will be migrated to accounts while preserving the identity of users on the network. - Usernames were formerly called Handles. Each account can own multiple usernames from different namespaces, but only one username from a single namespace can be assigned to its account at any given time. This flexibility allows users to create different personas for different applications, customized for specific use cases, while maintaining account portability.
Developers can use a global namespace, inheriting common usernames, or create their own unique, dedicated namespace that provides control over username issuance, monetization capabilities, and the ability to create custom rules. Usernames are represented as NFTs, making them fully transferable and allowing for royalties on secondary market sales.
Once a username is claimed, it belongs to the user and cannot be taken away. - Graphs are a new social feature of Lens that displays Follow connections from account to account based on Lens. In the new Lens, developers can use an existing global Graph to take advantage of common network effects, or create their own Graphs.
Users don't need to create new accounts to connect with others in different Graphs. With account portability, users can seamlessly access all available Graphs (unless restricted by special rules) and connect to other accounts using their existing account.
Graphs come with built-in rules for connecting accounts, offering options such as free connections, pay-to-connect models, and tokenization using ERC-20 or NFT tokens. Developers can also integrate additional rules, such as limiting the size of the Graph to control the number of connections per user. - Feeds is the flagship social feature in Lens and a powerful tool for content curation. Developers can set custom content creation requirements for the feed, which are enforced by smart contracts.
Developers can either use a global feed for their users or deploy a custom feed with flexible rules. These rules, managed by the feed owner, can include open feeds where anyone can publish, paid feeds, or tokenized feeds.
Feeds are designed to scale from personal blogs and collaborative publishing to decentralized newspapers and curated interest feeds, where rules and community management are provided transparently onchain, surpassing the robustness and transparency of any current Web2 content platform. Feed rules can include transparent, community-driven content moderation rights that are provided onchain.
Posts in a feed are like follower in a graph. A post can only exist in the feed, and is created through the feed. Posts contain rules that can be set by the post author, who can add conditions for users interacting with his post. For example, the post author can require a certain ERC-20 balance for commenting or allow only subscribers to quote.
Post rules are different from actions. Post rules set scarcity and conditions, while actions extend to any smart contract functionality for richer user interactions. - Groups allow group owners or administrators to set custom rules for membership, determining how and which accounts can join. For example, membership requirements may include administrator approval, a joining fee, or a sponsorship system where existing members support new members.
In addition, group rules may provide for actions such as deleting members or delegating group management to certain accounts acting as moderators. In addition, groups can be structured so that no member has the right to remove others, giving onchain groups much more flexibility and power than traditional Web2 community platforms.
Groups are designed solely for membership management, but can be combined with other Lens features to extend functionality. For example, a group can be linked to one or more feeds, allowing it to serve as a mechanism to “subscribe” to content, such as blogs or public newsletters, and allow only members of the group to post to the feed.
Another use case may be a group that gives select accounts, such as power users, the ability to enter shorter usernames in a particular username space.
Groups can include a group wallet that is managed collectively by group members. Along with rules, developers can create special ribbons and graphics managed by groups, demonstrating the possibilities of using primitives both together and individually.
Lens storage nodes set a new standard for social media content storage, prioritizing data integrity and optimized management for users. Built on Rust, Lens storage nodes serve as a robust content management layer using IPFS and EVM compatible chains. This allows developers to store user-generated content in a fault-tolerant decentralized system, while giving users full control over uploading, retrieving, editing, and deleting their content through secure Ethereum-protected onchain function calls.
This process authenticates with EVM signatures and then uploads data to storage nodes that securely store it. We implemented a flexible multi-chain access control mechanism, linking user-defined contracts to any EVM-compatible chain.
Any change to data on storage nodes is only allowed after confirming a call to a specified contract function in the chain, thus ensuring the binding of access control via smart contracts.
Aptos NFT Marketplaces Analysis
New Dasboard from Flipside.
Aptos Marketplaces Monthly Buyers count:
Users retention rate:
Gondi's Dune Dashboard for the NFT lending market
Outstanding Timeseries by NFT lending Platform. Over time, the NFTfi loses ground more than others, while Gondi grows faster than its competitors.
Gondi Oustanding by Collection. Cryptopunks have been holding the lead confidently for several years. Chromie Squiggle are gradually decreasing their loan volumes, Autoglyphs also remain in the top three.
NFT Market
Disclaimer. To date, analytical tools are still evolving and provide only approximate data that do not cover all chains, DAG systems and other types of distributed ledgers, as well as NFTs or less common types, such as utility or financial.
NFT Marketcap is $34,213,877,817
NFT Sales Volume $467,725,831
Total Sales 1,845,029
More all users are on Solana, and there is a constant battle for places 3 through 6. The number of users grew by about 10%, but revenue grew by 30% due to growth in Ethereum.
Ethereum is the clear leader by volume, however, Solana is ahead of Ethereum by royalties. In one month, volume was up over 25% and royalties were up 50%.
Opensea again flipped Magic Eden by users this month. Blur is the leader again by volume.
Magic Eden is the leader by trading revenue. This month Tensor is the leader by royalties. The royalties was up over 50% last month.
Blockchains by NFT Sales Volume. Ethereum rose slightly, while Bitcoin almost doubled in value.
The multitude of green candles speaks for itself.
All L2 NFT transaction count in this month. Immutable X is still the undisputed leader.
Zora is still the leader in NFT finace category.
NFT lending stats
NFT Lending TVL for all chains in November.
Top-10 NFT lending protocols. This segment has risen stronger than the market, with Blur growing almost 2x.
Ethereum NFT Borrow
Blast NFT Market
Market capitalization droped significantly compared to last month, despite a growth in sales volumes.
Blast top-10 NFT collcetions
