NFT Art Annual Report: Is the Blockchain art market worth Attention?
Original title: BCA document | cryptographic art movement: the most important artistic revolution of the second millennium
Source: BCA Blockchain Art
The introduction
This annual Report on NFT Art 2018-2019, published by NFT data provider NonFungible.com, shows how NFT art has changed and evolved over the past year in Numbers and graphs from different dimensions. The sections on users, retention, penetration, and NFT IDS are interesting and interesting to read.
For the first time in Nonfungible.com's history, an exclusive report specifically focused on the arts is available to users. In 2019, we noticed an increase in activity in the art sector, which is why we decided to pay special attention to this booming blockchain economic branch.
New projects have been created, while others have strengthened their communities, and there is no doubt that markets and virtual galleries have made it possible to increase the awareness of artists.
This paper mainly focuses on artistic projects (artists, generative art, market devoted to art, etc.). This study did not include game projects/collectibles that can be assimilated into art, such as CryptoKitties or Blockchain Cuties. The report analyzes 16 projects, 5 markets, 5 artists and 6 generative art projects and over 500,000 Ethereum transactions over the past two years.
NFT art & have spentIndustry milestone
16 project summary
Generate the art
Art generated by an algorithm (coded by a human), the code generated by an algorithm is considered a work of art. We classify all works of art generated by algorithms as "generative art".
Nongenerative art
Both digital and physical works are created artificially. We classify as "non-generative art" all works of art created by humans (even if algorithms are used later).
How has NFT art developed since its first step in 2018?
NFT Art Global DOLLAR Trading Volume (2018-2019)
Annual CHANGE in US Dollar Trading Volume (2018-2019)
Annual change in number of Transactions (2018-2019)
NFT Art Trading platformCollectors and Artists
How many encryption artists there are
How much art there is
2018 Head Collector
2019 Head collector
Head collectors bought more diverse works of art between 2018 and 2019, thanks to the emergence of a large number of artists and a growing market. The top three whale collectors in 2019 are @moderats, @WhalesharkPro and @TokenAngels.
Head collectors are betting heavily on art acquired through SuperRare, but it's interesting to note that the DPT Punk project, donated for free in the early days of NFT's development in 2017, is still very successful. This may have something to do with their history and their proven scarcity.
"Known Origin" came in third, indicating the buyer's enthusiasm for the platform's work and the DAO system it offers.
One trend emerging in 2019 is that collectors are becoming interested in individual artists, especially those who invest in encryption. The cumulative total of purchases puts this category in fourth place among the top 10 collectors.
In the statistical survey of the second quarter of 2020, there are more than 2,000 artists and nearly 3,000 collectors on the head-encrypted art trading platform.
The art of NFTPrimary market and secondary market
Transaction volume in primary and Secondary markets (2018-2019)
Transactions in primary and Secondary Markets (2018)
Volume of Transactions in primary and Secondary Markets (2019)
Primary and secondary market distribution
The exact role and importance of the NFT art market
Global market sales analysis
In 2018, due to the difficult environment in the cryptocurrency space, the market was driven largely by cryptopunk.
Interest in art picked up again at the end of 2018 and continued to grow in 2019.
One interesting indicator to watch is the evolution of secondary sales in the non-generative art market, which grew by 537% in one year. It's not just the resale of artists' work that is booming. Artists, works, dollars and transactions are also booming in 2019.
In 2020, three cryptographic art platforms -- SuperRare, KnownOrigin and Marketplace -- saw their total transactions grow from $267,000 in the fourth quarter of 2019 to $840,000 in the second quarter of 2020, two consecutive quarters of growth of more than 50 per cent.
In addition to the three, Async Art, a four-month-old encrypted Art platform, has grossed more than $222,000.
As expected, the market plays an important role in the dissemination and visibility of digital art. They really provide shelter in the service of artists and play a decisive role in ensuring their professional recognition and remuneration.
The art market also ACTS as a portal and evangelist, enabling an entire community of artists to overcome the blockchain's technical limitations and provide a simplified user experience that everyone can access.
Because the blockchain imposes restrictions that currently do not allow a common cross-platform royalty system, artists can earn royalty revenue by making secondary sales on the platforms on which the art was originally released.
We can safely say that without these markets, most of these artists would never have released a new NFT piece of art.
Note that in the following image, "SuperRare" is separated from the other platforms because of its high volume.
Art market sales
Number of artists on each platform
Dollar trading volume on various platforms
SuperRare DOLLAR trading volume
The number of individual artworks sold on each platform
SuperRare Independent art sales volume
At the end of 2019, there was a huge spike in transactions across all platforms.
The growing interest in art is closely related to the development of NFTs in general, but it is too early to determine whether there will be a bubble effect or whether this trend will continue in 2020.
The number of artists is growing, and the platform's support for video/audio has opened up new areas of expression.
SuperRare has established itself as a benchmark in the art world with its reputation and excellent communication skills to achieve record sales.
Can other platforms stand out by responding to other needs of the public and artists? Especially those with more relaxed access.
NFT artHow big is the market capitalisation of the NFT as a whole?
Art Market Transaction Size (USD)
Volume of art market
conclusion
There are several important forces in the NFT art field, including:
1. Mature players (markets, artists, etc.)
2. Attract a new audience outside of encryption
3. A strong and natural fit between the technical medium and the art collection use case
4. Investors and Whales (WhaleShark, Winklevoss Twinklevoss Twings, etc.) are clearly interested
5. Triple-digit growth in the analysis period
At the same time, the art ecosystem will face several major challenges to ensure its future growth:
1. Develop a strong secondary market to ensure asset liquidity
2. Continue to attract unencrypted artists
3. Determine the solution and ensure the royalty of secondary market sales
The purpose of this report is to provide a clear and detailed overview of the state of the blockchain art space.As noted in the 2019 NFT annual report, art has undeniably become one of the primary use cases of the NFT ecosystem.
Although it holds only a small share in the NFT environment and the blockchain industry more generally, the growth of this segment shows that art can be one of the main vehicles for the growth of the NFT ecosystem, in addition to games.
Whether you're an artist, a novice, a private investor, a venture capitalist or a traditional art collector, it's best to keep a close eye on the blockchain art market in the coming months and years.
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