Whales drive NFT comeback on BNB Chain in Q3: Messari
|Non-fungible tokens trading volumes on the BNB Chain saw a resurgence in the third quarter, increasing 283% to a daily average of $600,400, according to blockchain analytics firm Messari.
The average daily sales also increased, up 47% quarter-on-quarter to 8,900, according to Messari’s Research Manager “AJC.”
“However, average daily buyers were down 53% QoQ to 2,300, signaling that NFT activity in Q3 was driven by ‘whales’ rather than small users,” the Nov. 7 report stated.
Daily average NFT volume on BNB Chain since Oct. 2023. Source: Messari
BNB Chain’s $55.2 million NFT trading volume (calculated by multiplying the average daily volume by the number of days in Q3) still pales in comparison to the Ethereum and Bitcoin networks, which tallied $120.7 million and $74.6 million in trading volume over the last 30 days alone, CryptoSlam data shows.
Solana, Mythos Chain, Polygon and Immutable have also seen more trading volume than the BNB Chain over the same timeframe.
Other metrics describing BNB Chain’s performance were mixed.
BNB Chain’s revenue tumbled 27.9% quarter-on-quarter to $34.9 million, which was largely attributed to a 27% fall in gas fees paid on decentralized finance transactions.
BNB Chain’s average daily active address also dropped 19% to 900,000 as average daily transactions fell 8.1%.
However, the total value locked on the BNB Chain increased 2.2% to $4.8 billion in Q3, with Algorithmic money market protocol Venus Finance being the biggest contributor to that rise, increasing 13% to $1.79 billion.
More (BNB $599.09) tokens were burned than minted in Q3 — resulting in a deflation rate of 4.5% and contributing to a 2.5% price rise as the broader market slightly regressed, CoinGecko data shows.
Key performance indicators of the BNB Smart Chain in Q3 2024. Source: Messari
Two of the most common use cases for BNB Chain were transacting with the Tether (USDT $1.00) stablecoin and interacting with the decentralized exchange PancakeSwap, Messari’s analysis showed.
The BNB Chain was launched by crypto exchange Binance in 2020, initially under the name Binance Smart Chain.
It boasts the fourth largest TVL among layer-1 blockchains, trailing only Ethereum, Solana and Tron, DefiLlama data shows.
Meanwhile, BNB Chain unveiled a new real-world asset tokenization service that provides individuals and businesses with a no-code solution to tokenize real-world assets in “minutes” earlier this week.
Binance team members behind the solution claim it significantly reduces the cost, time and labor needed to tokenize assets, lowering the barrier to entry for everyone.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.