- Several Metaverse projects are recording low transaction volumes amid the general market downturn.
- NFT land prices also fell 75% following reports of a drop in daily user numbers on major metaverse projects.
- Gamers and NFT collectors are optimistic that the reported value does not represent the value of the asset and expect it to rise when the broader market becomes bullish.
The metaverse has been caught in the middle of a cryptocurrency winter, with lower trading volumes, fewer daily users, and lower asset values.
Decentralized Finance (DeFi) Explorer DappRadar Releases Q3 report For the top decentralized applications (DApps) metrics. According to the report, transaction volume across major metaverse projects has decreased by an average of 80% compared to the previous quarter. Sales of non-fungible tokens (NFTs) also fell by 11.55% as trading volumes declined.
The sharp blow to the metaverse rests on a general decline in the digital asset market as a whole. DappRadar also noted in its report that the drop in transaction volume does not represent a decline in community interest.
“We believe this is a bullish sign as it shows that the hype for these types of projects is not declining. It impacted the overall trading volume.”
other side, Yuga Labs, a metaverse of popular NFT creators, saw a 74% drop in NFT sales. On the bright side, his NFT sales in Sandbox increased by over 180%. This may be due to the release of new game experiences and more collections.
Land prices across the metaverse also plummeted by 75% in connection with the bear market.
Asset Values Frozen in Crypto Winter
Asset values across the industry have plummeted this year, with some losing as much as 80% of their value. Terra saga filed by Celsius to wipe him over $60 billion from the digital asset market bankruptcyshows how tough this year has been for the industry.
Bitcoin, the largest cryptocurrency by market capitalization, has lost more than 55% of its value this year. Despite the Ethereum merger, the largest altcoin is down more than 60% this year, and about 19% since the merger. Cryptocurrency market cap has lost over $2 trillion since its November 2021 high, and now he is at $1.1 trillion.