Polygon’s NFT Market Demonstrates Signs of Significant Increased Adoption, but Not Growth in Sale Volume, Nansen Data Shows

Polygon’s NFT market is currently experiencing significant increased adoption, thanks to its collaborations with name-brand companies such as Reddit.

Despite crypto winter, first-time and returning buyers per day in Polygon’s non-fungible token (NFT) market reached new all-time highs during the last month of the year, per data from blockchain analytics platform Nansen. The surge comes even as NFT ecosystems on other chains such Ethereum and Solana have a decreasing number of users per week.

Solana’s NFT users per week dropped from over 160,000 users in late September to less than 60,000 users today, while Ethereum’ users per week dropped roughly 250,000 users to some 183,000 users in the same time period.

Referring to Polygon’s collaboration with mainstream brands such as Nike, Starbucks and Reddit, Polygon Studios CEO Ryan Wyatt, told CoinDesk TV’s “First Mover,” “We’ve built this great funnel for partners to come through and make the onboarding to Polygon really seamless.”

Users per week and transactions per week

Additionally, the number of users per week in Polygon’s NFT ecosystem grew more than 500% since early August, resembling buyers per day. Between Dec. 5 and Dec. 12, the blockchain had over 240,000 users, an all-time high for the number of users per week.

Volume

Year to date, Polygon NFTs have had a total of 338 million MATIC, worth $305 million, in trading volume across 2.27 million unique wallets.

Even though buyers, users and transactions per week are posting new highs, trading volume per week in recent months is near the lows, “suggesting most activity are free mints/low value purchasing,” tweeted Martin Lee, senior data journalist at Nansen. The increase in adoption has not yet translated into an increase in trading volume, data from Nansen shows.

(Nansen)

“My view is that the current adoption path largely led by @Fwiz [Ryan Watt, CEO of Polygon Studios] and team at @0xPolygon helps to remove the current stigma and idea that NFTs’ main value is speculation,” tweeted Lee in an original Twitter thread about the growth adoption in Polygon’s NFT ecosystem.

Source