NFT see a fall in its Ethereum gas consumption rate

financialexpress.com:

According to Cointelegraph, Ethereum gas consumed by non-fungible tokens (NFTs) dropped significantly after it saw an increase in its rate in 2021.  It is expected that the NFT marketplaces and projects which had occupied top spots in gas consumption earlier saw a decline in the past two years.

With insights from Glassnode, an on-chain analytics platform, gas usage by NFT marketplaces is currently on a downward trend. This is expected to indicate a possible shift in terms of NFT use, where more users might be choosing to hold on to their assets instead of exchanging the assets on marketplaces.

Sources revealed that NFT marketplaces only accounted for just over three percent of the entire gas consumption in a weekly period in May. It is believed that this took place during a surge in Ether (ETH $1,837) gas prices. This is expected to result into people believing that NFTs were only a “product of excess liquidity” due to money printing during the pandemic, as per insights from  Nansen, a crypto analytics platform.

Furthermore, currently, Blur, OpenSea, SuperRare, LooksRare and Rarible only account for about 1.85% of the gas consumption for the entire Ethereum network, Cointelegraph concluded.

(With insights from Cointelegraph)

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