Non-fungible token (NFT) sales in October sank for the sixth straight month, failing to break US$500 million in sales for the first time since July 2021.

Despite the market decline, the nascent asset class is still viewed as an important component of the next iteration of the internet — Web3. It can be used in a variety of areas, from decentralized finance to blockchain gaming and metaverse collectibles.

Crypto Punks

Crypto Punks are a collection of 24x24, 8-bit-style pixel art images that feature misfits and eccentrics. They are created through a randomization process that creates a wide range of designs, including people, zombies, apes and aliens. They are one of the most popular NFT collections, and their popularity is largely attributed to their unique traits and limited supply.

These non-fungible tokens were first released in June 2017 by Canadian software developers and Larva Labs founders Matt Hall and John Watkinson, who were seeking to break the mold of digital art with their unconventional approach. The CryptoPunks project inspired more successful NFT collections such as World of Women, Cool Cats and Bored Ape Yacht Club.

After seeing an astronomical rise in market cap, the CryptoPunks collection experienced a decline in 2022. After reaching an all-time high in October 2021, the prices fell dramatically. Despite this, they still generate millions of dollars in monthly volume.

In early 2022, CryptoPunks was acquired by Yuga Labs - creators of the second most popular PFP collection, Bored Ape Yacht Club (BAYC). According to the company, it plans to “create a community of builders” for the NFTs.

This acquisition is expected to result in a resurgence of the CryptoPunks market cap. However, it is also possible that prices may continue to fall and remain unrecoverable.

Since CryptoPunks are one of the most popular NFT collections in the world, it is expected that they will remain a popular commodity for many years to come. In addition, they will continue to change hands on secondary markets, which can lead to huge returns for investors who bought in before the recent boom.

GMoney believes that CryptoPunks will continue to be a big pillar of the NFT space. He noted that this is because they are the first non-fungible tokens to ever be released and he doesn’t expect them to get lost in the rush of NFTs.

While the CryptoPunks’ market cap has fallen, they are still generating tens of millions of dollars in monthly volume. This can only mean that they will keep resonating with the public for the foreseeable future, even as the rest of the NFT space undergoes a major shift in the way it operates.

The Bored Ape Yacht Club

The Bored Ape Yacht Club (BAYC) is one of the most popular and valuable Ethereum NFT collections. They launched in 2021 and have become a staple of crypto culture. Their unique design has also been recognized by brands like Arizona Iced Tea, who purchased an NFT in August of 2021 and used it in their marketing materials.

Their popularity is largely attributed to their liberal intellectual property rights approach, which gives owners the right to use an ape's image for any purpose. As a result, Bored Apes have appeared in Jimmy Fallon's Tonight Show, World Cup ads, and even the Grammy Awards.

There are 10,000 NFTs in the Bored Ape Yacht Club collection, each a digital art piece based on a specific ape. They come with different features, including fur color, background color, outfits, and accessories. The rarest NFTs have more unique traits, and this makes them more expensive.

They also come with a membership card, which grants access to exclusive perks such as private online spaces, merch, and members-only events. In addition, BAYC members receive a discount on all future purchases and can sell their NFTs for a profit.

However, the price of BAYC NFTs has declined significantly since their heyday in April. The floor price has fallen 78 percent in the last two months, from $429,000 to $89,500 as of June 14 according to data from NFT PRICE FLOOR.

The decline may have a lot to do with the crypto market. Currently, the market cap of the entire cryptocurrency ecosystem is down 80% in comparison to April and it looks likely that this trend will continue throughout 2022.

In terms of the NFT marketplaces, OpenSea is seeing a significant increase in bids on NFTs as users take out lowball offers to liquidate their assets. A similar pattern can be found with the lending protocol BendDAO, which allows users to borrow money backed by valuable NFTs.

The rise in bids suggests soft demand for these NFTs. It also indicates that buyers are willing to accept lower prices to avoid hefty fees and transaction charges, which is why it has been hard to find a buyer for these NFTs in the current market.

Meebits

Meebits, a blocky, 3D voxel character, is the latest NFT collectible from Larva Labs, the NFT studio behind CryptoPunks and Autoglyphs. Like its predecessors, Meebits can be purchased, sold or collected in an auction format and is built on the Ethereum blockchain.

The Meebits collection consists of 20,000 different voxel avatars, each of which has its own type, attribute and rarity. There are seven types in all - visitor, dissected, skeleton, robot, elephant, human and animal.

Each Meebit can be customized and edited using the T-pose OBJ file that comes with it. Users can use this file to create new Meebits in a variety of 3D animation and modeling tools. The customization part of this NFT might help it rise to popularity in the Metaverse, where 3D models of virtual avatars are being sold for large amounts of money.

At launch, Meebits were offered for 2.5 ETH in a Dutch auction format, and the price dropped as people purchased them. This allowed for plenty of buyers to purchase Meebits at a lower price point than other projects.

In addition to this, Meebits was launched as a decentralised NFT project with no fees charged by the developers. This is a smart move as it helps to foster a more open and flexible system for NFTs.

Meebits also offers a unique Marketplace, which allows holders to swap their Meebits with another Meebit in an off-chain environment. This lets Meebits holders exchange Meebits for ETH and ETH for Meebits without worrying about the security of the transactions.

As a result, Meebits is one of the most popular NFT projects in the world. It has a strong user base and has grown in value by at least twice since its launch in May 2021.

Meebits is a great NFT to invest in, especially because it has been around for a while and is well-supported by knowledgeable developers. It is also resistant to hacking and fake coins, making it a safe investment that should continue to grow. The Meebits platform will also be updated in the future to improve the user experience.

Beeple

The once-sizzling market for non-fungible tokens (NFTs) has collapsed, and even once-six-figure collections are down 99% in value. As a result, the NFT sector lost billions of dollars in value last year and is now struggling to regain its former glory.

The market cap decline 2022 comes as a result of a variety of factors, but one of the most troubling is skepticism over the safety of NFTs. As a result, many people are avoiding them altogether or reducing their exposure to the asset class.

This has led to an overall drop in trading volume. November data shows that the monthly tally was down 88% from January, with the quantity of NFTs sold also dropping significantly. The minimum asking price for a Bored Ape, for example, dropped from $429,000 worth of ETH in late April to under $60,000 during November.

In addition to that, the market is seeing a growing pushback from creators who are concerned about royalty fees on secondary sales. This has resulted in a number of marketplaces choosing to ignore these fees and pay them only when the NFTs are sold directly to traders.

While the market is still yielding over half a billion dollars in trading volume every month, top NFT projects are experiencing fewer big-ticket sales. This trend is expected to continue in the coming months, as the crypto crash and macroeconomic turmoil bring further uncertainty to the NFT space.

The market is also facing an increasing amount of scams and hacking attacks. A study by Elliptic in August revealed that over $100 million in NFTs were stolen over the course of the year, and as a result, investors are hesitant to invest in the asset class.

Another reason for the market cap decline is that some high-profile NFTs have flopped. This includes the NFTs of rap stars Snoop Dogg and Eminem, as well as Madonna's "Material Girl" digital artworks.

Despite these issues, the NFT market still has a bright future ahead of it. It will grow into an industry with a market cap of $231 billion by 2030, according to a recent report from Verified Market Research.

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.