OpenSea refunded $1.8 million to users who sold NFTs for far less than their true value in January of this year. Bloomberg revealed that one wallet generated over $800,000 by abusing an OpenSea flaw and then reselling only five NFTs (three of which were from the ultra-exclusive Bored Ape Yacht Club).
NFT sales soared to $25 billion in 2021, a significant increase from $95 million in 2020. OpenSea may have started the trend, but there is a slew of new NFT marketplaces fighting for its spot.
Coinbase was founded in 2012 and has grown to become one of the most popular cryptocurrency exchanges, with over 89 million registered users. The company is launching its own NFT marketplace, and while its website still says “coming soon,” it already has a 1.1 million-strong waitlist – OpenSea has just over 1 million active users.
Coinbase NFT will be peer-to-peer and based on the Ethereum network at first, with ambitions to expand to other blockchains in the future. Coinbase has already announced partnerships with Lazy Lions and DeadFellaz, among others.
FTX’s NFT marketplace debuted in October of last year, although it differed significantly from Coinbase NFT. Because the NFT marketplace is not peer-to-peer, collectors give up direct ownership of their assets in exchange for having their data captured and stored on the FTX network. It was also the first cryptocurrency to use the Solana blockchain rather than Ethereum.
Because FTX NFT has more centralized control, the platform develops its own bidding procedures. This offers FTX NFT less authority but allows them to charge a cheaper fee structure of 2% versus Coinbase’s 2.5 percent.
EverGrow Coin NFT Marketplace
On the BNB Chain, EverGrow Coin is launching a new NFT marketplace that will feature a brand-new protocol called NFT lending. This will allow NFT owners to use their digital assets as collateral for crypto loans, which can then be used to profit from a variety of DeFi ventures.
NFT lending provides a novel option for NFT collectors to earn passive revenue from their assets without having to sell them. When compared to markets created on Ethereum, the EverGrow Coin NFT marketplace will have significantly lower gas fees because it is also hosted on the BNB Chain.
EverGrow Coin is a reflection token that pays out BUSD to investors every day, financed by a 14% transaction fee. It has paid out over $35.5 million to coin holders so far (it only began in September of last year), and the NFT marketplace is only one of a number of new applications that will help EverGrow Coin investors earn even more rewards.
Rarible had bigger monthly trading volumes than OpenSea at first, but it failed to catch up during the NFT boom of 2021. But, while OpenSea has been involved in scandals since then, Rarible has been hard at work adding powerful utilities that will make it a better competitor in 2022.
Rarible has already issued a governance token called RARI, whilst OpenSea has yet to do so. Rarible has also added support for NFTs on the Flow and Tezos blockchains, with plans to add support for Solana and Polygon soon.
Zora is a lesser-known NFT exchange that does not rank among DappRadar’s top 25 NFT exchanges by trading volume. However, PleasrDAO’s permissionless ‘on-chain’ platform has attracted some historic acquisitions, such as the $4 million purchase of the original doge meme NFT by PleasrDAO.
The manifesto of Zora strives to eliminate the intermediaries and monopolies that keep ordinary traders out of the market. This is accomplished by operating as a “media registry protocol” rather than an NFT marketplace. Artists have more freedom to establish their own prices and collect royalties on resells of their work because there are no costs for listing, buying, or selling NFTs.
By volume and deals to date, OpenSea is without a doubt the most popular NFT marketplace. However, its rapid growth has come at the expense of security and usability. If the platform’s flaws aren’t fixed, this might be the next big NFT market in 2022.