More than 80% of all nonfungible token (NFT) transactions have been worth less than $ten,000 in 2022, according to Chainalysis, which categorized them as "retail" in recent enquiry.

A Mon study from blockchain analytics firm Chainalysis titled "The 2022 NFT Market Explained" detailed NFT transaction trends throughout 2022. Researchers at Chainalysis studied on-chain information between January and Oct 2022.

While retail transactions take accounted for more 80% of all NFT transactions on any given day in 2022, collector-sized transactions had risen from 6% in March to 19% by Oct. 31, indicating an increase in more than prominent collectors as the twelvemonth progressed.

Institutional-sized transactions accounted for less than 1% of all transfers but made up 26% of the actual trading volume during the menstruation, it added.

A retail-sized transaction is worth less than $10,000, while a collector-sized transaction is worth between $x,000 and $100,000. An institutional-sized transaction is worth more $100,000, according to the research.

The nautical chart below shows the dominance of retail transactions throughout the year from January to October, with a definitive uptick in collector-sized transactions beginning by September.

NFT transaction size share. Source: Chainalysis

The share of total transfers was generally fabricated up past retail, but collectors and institutions have made up the lion's share of NFT dollar-denominated transfer volume since March. Collector-sized transactions made up 63% of the volume, and establishment-sized transactions fabricated upwardly 26%, which ways retail transfers came to 11% of the book for the time menses studied.

NFT transfer volume share. Source: Chainalysis

The researchers assorted the NFT marketplace with the wider cryptocurrency market, where retail transactions make up a far smaller proportion of the total transactions.

"The data shows that the NFT market is far more retail-driven than the traditional cryptocurrency market, where retail transactions brand up a negligible share of all transaction book."

The earning potential associated with NFTs was among several factors that drove cryptocurrency adoption through 2022. That is evidenced by the record $17.vii billion in NFT sales expected through 2022, co-ordinate to a written report from Cointelegraph Research.

Concluding calendar week lone, NFT sales amounted to $300 million, nearly a quarter of which came from metaverse land purchases in The Sandbox.

Additionally, at that place has been at to the lowest degree $26.9 billion in cryptocurrency sent to ERC-721 and ERC-1155 (the industry ascendant Ethereum standards for NFTs) contracts through 2022, according to Chainalysis.

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Whitelisting best for profits

Despite the tremendous amount of coin existence spent on NFTs, the report stated that "only 28.v% of NFTs purchased during minting and and then sold on the platform result in a profit."

Chainalysis suggested getting whitelisted to increase the chances of turning a profit from a newly minted NFT. Users who made the whitelist on a minting effect on OpenSea turned a turn a profit 75.seven% of the time versus the 20.eight% who did and so without being whitelisted.

"The data suggests it's nearly impossible to achieve outsized returns on minting purchases without being whitelisted."

However, NFTs bought on the secondary market afterward minting "leads to profit 65.one% of the fourth dimension," the report added, suggesting that if i cannot make the whitelist, information technology is better to wait for an NFT drove to hit a secondary marketplace rather than participating in a minting event.