Why Most NFT Projects Fizzle Out

Many trusted people in the NFT market, from Gary Vee to Beeple, believe 99% of the NFT projects available today will be worthless in the near future. It’s not exactly a confidence booster for anyone looking to start investing in NFTs. Still, they’re most likely right. However, not because investing in arbitrary jpegs is a fad.

Most NFT projects will fizzle out because they cannot sustain the momentum and excitement of their community.

Projects build the hype, initiate their NFT drop, sustain the momentum for a week or two, and then the momentum fades. This experience is far too familiar to any seasoned NFT collector. And it’s incredibly demoralizing to watch your collectible’s value slowly fade to nothing.

There are a variety of reasons that NFT projects lose momentum and fizzle out. In the video below, we discuss some of these reasons, as well as offer up our perspective on how creators should think about sustaining momentum.

There aren’t nearly enough NFT collectors to go around for the number of projects out there. After all, the Financial Times estimates there are only 360,000 active NFT wallets – of which 9% hold 80% of the NFT wealth.

That doesn’t mean it’s impossible to maintain the position as an important NFT in collector’s wallets. But it’s a constant battle of producing exciting project updates and activating the marketing potential of one’s collectors.

Every project wants to reach the status of a Blue Chip NFT and go on to exist for years or decades to come. Easier said than done, though.

Tune into our show on Blue Chip NFTs to hear our thoughts on how projects will attain this coveted status in the NFT market.

For more information on the topics discussed in this newsletter, head over to https://NFTQT.com

Also, The NFT Handbook is available now grab your copy here: https://amzn.to/3HIJY6O