A DappRadar report found that even though trading volumes dropped sharply in Q3, the average number of NFT sales for these 10 projects only dropped by 11.5%.
Even though trading volume for the top 10 metaverse projects dropped 80% in the third quarter compared to the second quarter, an analytics firm called DappRadar says that people are still interested in virtual worlds.
The metaverse industry has been getting a lot of bad press lately, especially about how few people use platforms like Decentraland and Meta. These platforms, however, have denied these claims.
In a report from Oct. 20, DappRadar said that even though trading volumes dropped sharply in Q3, the average number of NFT sales for these 10 projects only fell by 11.5% compared to Q2.
DappRadar says that lower trading volumes might just mean that asset prices are going down, not that people aren’t interested.
“We consider this a bullish sign because it shows that the hype for these types of projects hasn’t decreased. Instead, the fall of cryptocurrency prices has affected the projects’ overall trading volume instead of a lack of interest.”
One thing to keep in mind, though, is that the number of sales of nonfungible tokens (NFTs) for eight of the top ten metaverse projects dropped by a lot in Q3, with Otherside’s sales dropping by 74%.
Most of the good news came from The Sandbox and the former Minecraft-based platform NFT Worlds V2, which each saw a 190% and 79% rise in the number of NFT sales.
DappRadar said that this was because of the excitement about The Sandbox’s Alpha Season 3, which has a lot of new games and collectibles. Whereas the removal of NFT Worlds V2 from Minecraft may have been seen as a “buying opportunity,” the value of its NFTs dropped by 90% in Q3.
Prices for virtual land floors fall sharply
In the meantime, DappRadar’s report showed that the average floor prices for NFT land plots had dropped by 75%, which may be one reason why the number of trades had dropped so much.
Any piece of real estate, virtual or not, can go up and down in value, but “Metaverse real estate is currently very depreciated,” said DappRadar, adding that the falling prices are in line with the bear market in the crypto sector as a whole.
Last week, DappRadar had to explain its metaverse data, which was taken to mean that platforms like Decentraland had less than 40 daily active users.
The company also said that its user data tool only counts “blockchain-based activities” like transactions and doesn’t count “non-blockchain-based activities” like users who don’t spend money.
The Sandbox tweeted on October 10 that it had 39,000 every day active consumers and 201,000 monthly active consumers over the past 30 days.
As of October 8, Decentraland said it had 8,000 users who were active every day and 56,697 users who were active every month.
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