More than 80% of NFT transactions were from retail traders this year, according to a recent Chainalysis report. This comes as the <a href="https://www.cryptoknowmics.com/news/christies-collaborating-with-the-worlds-leading-nft-marketplace-opensea/">NFT market</a> continues to witness massive hype as Google keyword searches for non-fungible tokens spiked to record highs recently.
<h2><strong>Chainalysis Releases Latest NFT Transactions Report</strong></h2>
A recent <a href="https://blog.chainalysis.com/reports/nft-market-report-preview-2021" target="_blank" rel="nofollow noopener">report</a> from blockchain analytics firm Chainalysis titled “The 2021 NFT Market Explained” highlights NFT transactions throughout this year between January and October 2021.

The researchers found that over 80% of all NFT transactions came from retail buyers while institutional traders only accounted for 1% of all transfers. Similarly, collector-sized transactions accounted for 20% of NFT transfers.

Per the report, retailer transactions account for less than $10,000 while a collector-sized transaction is worth between $10,000 and $100,000. An institutional-sized transaction is one worth more than $100,000.

While the share of total NFT transactions was mostly from the retailers, collectors and institutions made up most of the share of the NFT trading volume since March. Collector-sized transactions made up 63% of the volume and institution-sized transactions made up 26% while retailers only accounted for 11% of the volume.

In comparison to the wider crypto market, retailers dominate the NFT landscape, according to the researchers.
<blockquote><em>“The data shows that the NFT market is far more retail-driven than the traditional cryptocurrency market, where retail transactions make up a negligible share of all transaction volume,” </em>the report read.<em>
</em></blockquote>
<h2><strong>Explosive Growth of the Non-Fungible Token Market</strong></h2>
Despite the massive popularity of NFTs, the Chainalysis report stated that only 28.5% of the sales saw profits. For this, the blockchain firm suggested that traders who intend to profit from NFT should first try to get whitelisted.

The market for NFTs has seen explosive growth this year, processing more than $26 billion worth of transactions so far, with over $10 billion of that coming in Q3 alone, as per data from <a href="https://dappradar.com/blog/dapp-industry-report-q3-2021-overview" target="_blank" rel="nofollow noopener">DappRadar</a>. Launched in 2017, <a href="https://www.cryptoknowmics.com/news/cryptopunks-nft-sells-for-more-than-500-million/">CryptoPunks</a> is deemed to be the most popular NFT project with more than $3 billion in transaction volume since March 2021.

Over 80% of NFT Transactions this Year were from Retail Buyers: Chainalysis

More than 80% of NFT transactions were from retail traders this year, according to a recent Chainalysis report.

Jafrin is a cryptocurrency journalist/researcher fascinated by the world of decentralization. She is hopeful towards blockchain’s innovation and its potential to reshape the world for good. Currently, she is bringing out the best of cryptosphere via covering the latest ins and outs of the blockchain space.

Over 80% of NFT Transactions this Year were from Retail Buyers: Chainalysis

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