Big congrats to @nonfungibles on releasing their 2020 Annual Non-Fungible Tokens Report! @NathalieBcht, @latelier & I thoroughly enjoyed partnering with them on it: https://t.co/uNvX18GcQV.
Some key takeaways from the report & my personal observations a/t #NFTs. A long-ish 🧵👇:

MARKET SIZE: The NFT market had a historic 2020 - tripled in value, reaching $250m (in terms of value of all #Ethereum transactions on chain, so actual market size is even bigger). This is rapid growth for a space that’s just a few years old.

Market is still volatile & prone to speculation but more sophisticated use cases are emerging based on utility, community, competitive elements. All are prerequisites for a more mature market. For all the hype around crypto, it is #NFTs that offer some of the more promising uses.

USERS: # of users transacting NFTs is up. So is interest in NFTs more broadly - using Twitter activity as a proxy, the uptick in interest is clear & rose 5x in Nov 2017- Sept 2020 (similar trajectory for #DeFi btw). BUT it's important to remember this is still a niche ecosystem.

PROFIT: Some NFT #Traders are commanding profits in the 100s of thousands. Again, this is still a niche activity. There are high barriers to entry (incl. technological) for non-crypto enthusiasts + asset prices are going up very fast. It's still hard to price and value NFTs.