As anticipation for spot Bitcoin ETF applications continues, the momentum in the crypto market is showing signs of waning. Investors are shifting their focus from high-performing assets like Bitcoin and Solana to untapped markets. The NFT sector is undergoing significant changes, which are examined under three main headlines.
Elon Musk’s recent challenge to embed a video clip into the Bitcoin ecosystem was taken up by an Ordinals expert, who managed to code the video after Musk’s tweet questioning if anyone still remembered NFTs. The video featured various 3D rotating plates with messages like “computers never sleep” and “HODL” in gold plating. This feat cost the coder $7,223, attracting the crypto community’s attention.
Approximately 15 hours after accepting the challenge, the video was added to the Bitcoin blockchain in block number 823,142 as Inscription number 51,887,020. The transaction was not cheap, costing the coder 16.9 million sats, equivalent to $7,223. Musk had previously criticized NFTs on a podcast with Joe Rogan, indirectly supporting Ordinals in the Bitcoin ecosystem.
Market commentators have noted the end of Ethereum’s dominance in the NFT market due to the rise in NFT activities on Ordinals and Solana. This month, the Bitcoin ecosystem surpassed Ethereum with $796.7 million in Ordinals sales volume compared to Ethereum’s $319.7 million. This contrasts with earlier in the year when Ethereum saw nearly $2 billion in NFT transactions compared to Ordinals’ $137.3 million.
Other news from the NFT world includes the return of all Bored Ape Yacht Club (BAYC) and Mutant Ape Yacht Club (MAYC) NFTs stolen from the NFT Trader marketplace after a reward payment. The NFTs, valued at approximately $3 million, were returned following a December 16th hack. Additionally, the Coinbase-backed blockchain network Base announced a partnership with Sound xyz, enabling artists to sell their music as NFTs through the Base ecosystem.
The developments in the NFT market reflect the dynamic and evolving nature of the cryptocurrency space, with Bitcoin Ordinals and other platforms challenging Ethereum’s once-dominant position and new partnerships fostering growth in blockchain-based music sales.