MARKET OVERVIEW

Non-fungible tokens (NFTs) forever changed the way in which the world views digital assets. Their advent introduced the ability to monetize and attribute ownership to digital works. In many cases, NFTs even allow asset holders to demonstrate that they own the intellectual property rights that correspond to the pieces in their collection.

NFTs are part of a larger movement in which people are moving away from intermediaries in favor of a peer-to-peer trading environment. This represents a more decentralized world, in which there is increased financial freedom. NFTs play a major role in the current market trend of pushing for a more decentralized internet in the form of Web3.

With this revolutionary new way to consider and monetize digital works, early movers are carving out their share of the market and earning significant profits for doing so. One such example is OpenSea, a business which has successfully capitalized on the profit possibilities offered by NFTs. As the first NFT marketplace of its kind, OpenSea launched in 2017 and has already amassed an estimated overall valuation of $13.3 billion USD.

One of OpenSea's largest competitors, LooksRare, has a valuation of $7 billion (Feb. 22) - despite the fact that this marketplace has only been around for a some months. With projections that the NFT market could grow to a market cap of around $13.4 billion in 2022 and $68.5 billion by 2028, there is still a significant opportunity for new marketplaces to establish themselves as major players in this rapidly-growing landscape.