NFTs once seemed like a treasure for the creative world, but now the market faces serious challenges. What happened?
The Rise and Fall of NFTs
NFTs gained popularity in 2020 and 2021 during the COVID-19 pandemic. Artists and creators saw NFTs as a way to connect with fans and profit from their work. However, today the interest in the market has waned. In 2024, sales fell by nearly 20%, and many traders left the market.
Shutdown of Major Platforms
Amid the ongoing NFT crisis, several major platforms have shut down their NFT services. In March 2025, LG closed its LG Art Lab platform, which had launched just a few years earlier. Similarly, the X2Y2 platform, which once had $5.6 billion in trading volume, also ceased operations after a 90% drop in trading volume since 2021.
Can Gaming Save NFTs?
Many believed that the gaming sector could return NFT popularity, yet even here they face challenges. Ubisoft attempted to incorporate NFTs into its games via Project Quartz, but players reacted negatively, leading to the project's shutdown. Expert Alice Frei asserts that games could be the last hope for NFTs, but developers need to avoid making NFTs feel like a way to force players to pay more.
The NFT market is currently in a tough spot. The closures of major platforms and decreasing interest from players threaten the future of NFTs. Whether games can reignite interest in NFTs remains an open question.
