NFT Market Struggles: Sales Plunge as Major Platforms Shut Down

The NFT market faced a major downturn in March 2025, according to Binance research. Sales volume across the top 10 blockchains dropped by 12.4%

The NFT market continues to struggle, with sales plunging and major platforms shutting down, Binance data shows.

The total sales volume across the top 10 blockchains declined by 12.4% in March, according to Binance Research.

Only Immutable and Panini displayed growth in sales, while the number of unique buyers fell to its lowest since October 2023, indicating reduced interest amid global economic challenges.

The bleak report comes as Bybit is closing its NFT Marketplace and X2Y2, which saw a 90% drop in activity since the 2021 peak, is also winding down. Earlier this year, Kraken ended its NFT operations.

Most notably, Ethereum-based NFTs were hit hardest, with sales plummeting 59.3%.

The report highlights that most top collections, including Bored Ape Yacht Club and Pudgy Penguins, recorded significant losses in March. In contrast, Panini observed a surge in activity, boasting a 259.2% increase in sales. This is attributed to its strong background in physical collectibles, which drove strong engagement and new users to the blockchain.

Despite the market downturn, some brands are still innovating. Azuki partnered with artist Michael Lau to create physical-backed NFTs, while The Sandbox brought licensed dinosaurs from Jurassic World to its metaverse.

The report also notes that NFT-related tokens have suffered. Magic Eden, a Solana NFT marketplace, has seen its token lose 94% of its value since launch, while Pudgy Penguins (PENGU) tokens have dropped nearly 30%.

Furthermore, Ethereum’s transaction fee income has declined sharply, falling by 95% since the 2021 peak. Its price also saw a significant decrease, with a 58.8% decline from its all-time high, marking its worst quarter since 2018.

Experts suggest that while the NFT market is undergoing a significant contraction, it may also be entering a phase of consolidation. As speculative hype fades, the focus could shift towards more sustainable and utility-driven projects.

This transformation could be laying the groundwork for a more resilient NFT ecosystem in the future, one that provides lasting value beyond short-term market trends.