Kraken’s NFT market closing
Kraken’s Nft Marketplace, which was presented in 2022, allowed users to buy, sell and trading Digital holdings Without gas fees for transactions.
However, from November 27, 2024The new lists and trades are disabled, and the trading platform will be turned out completely February 27, 2025.
KAKEN attributed this step to its intention to re -allocate resources to other projects, including Developing innovative encryption solutions and expanding their symbolic shows.
Photo source: Thomas S on X
Why Kraken closes its NFT market
NFT market has faced many challenges:
- Low trading volume: NFT sales peak in 2022 but decreased since then. The trading volumes of Q3 2024 amounted to $ 1.1 billion, compared to $ 12.6 billion in the first quarter of 2022, highlighting a significant decrease in the activity.
- ExcessiveThe NFT market has become crowded with new projects, many of which failed to attract constant attention. Reports indicate that 98 % of NFT groups did not witness a small or non -commercial activity throughout 2024.
- Fall values: Only 0.2 % of NFT decreased in 2024 turned into a profitable, with the loss of most of them more than 50 % of its value shortly after launch. The average age of NFT decreased.
- Consumer interest: While some sectors such as games show flexibility, it has struggled with the total market to keep the user’s participation. Blockchain -based games formed 30 % of NFT activity in 2024, which is a rare bright point in a wider stagnation.
The broader case in the NFT market
Kraken’s decision reflects larger trends in NFT space. While the noise surrounding digital holdings has faded, some areas and industries still show the promise:
- Geographical trendsNorth America is still the largest contributor to revenue, but Asia and the Pacific Ocean appeared as a growing center for the adoption of NFT, driven in countries like China and Singapore (source: Kraken Nft report).
- Industry use cases: NFTS acquires traction in Blockchain games and digital art, as games projects attract $ 1.1 billion of investments in the second quarter of 2024.DAPPRADAR))
What is the following for kakin
Kraken’s decision to close Marketplace NFT shows a clear shift in the strategy as it adapts to the changing market conditions. The company plans to focus its resources on enhancing its basic fields, such as developing new symbols and improving its platform.
This includes existing 20 additional codesand Which can allow Cirkin to take advantage of increased directions such as metal currencies and Blockchain innovations. By redirecting its efforts, Kraken aims to maintain competition Trading encryption industry.
Stay away from the NFT sector gives Krakeen the opportunity to explore other promising areas, such as Decentralized financing (Defi) and Web3 Technologies. These sectors have shown growth capabilities and are well compatible with the company’s vision to provide innovative Blockchain solutions.
For users, the closure means that they need to withdraw NFTS from the market before February 2025. KRAKEN reassured customers that withdrawals will remain active until closure, ensuring that everyone has enough time to secure their origins.
conclusion
Kraken’s decision to close its Marketplace is closed by the power of the difficulties facing the NFT sector. Creating excessive saturation, low values, and converting consumer interests a difficult environment for platforms.
Since Kraken is to direct its focus on other projects, the NFT market must innovate to stay relevant. The future of the industry depends on the quality of solving these problems and finding fixed methods of growth.
Pamphlet Kraken to close the NFT market amid industry challenges First appear on Cryptoninjas.
