Bybit to Close NFT Marketplace Amid Weakening Market Conditions
Cryptocurrency exchange Bybit announced on Tuesday that it will close its NFT marketplace as part of efforts to streamline its offerings.
The company confirmed that operations for its NFT Marketplace, Inscription Marketplace, and IDO product pages will be discontinued.
Market Weakness Drives Closure
Bybit’s decision follows similar moves from other crypto exchanges, such as Kraken’s closure of its NFT marketplace and X2Y2’s plans to shut down its operations at the end of this month. These closures reflect the ongoing decline in the NFT market, which, despite occasional signs of activity, has been in a steady downturn since late 2022.
Declining Interest in NFTs
The demand for pricey profile picture (PFP) NFTs and digital art has significantly decreased in recent years. Popular collections like Bored Ape Yacht Club no longer generate the high trading volumes they once did, signaling a shift in market interest.
NFT Market Trading Volumes Plunge
Blockchain analytics firm DappRadar recently highlighted the severe drop in the NFT market, reporting a 95% decline in trading volumes for the most popular NFT collections since the peak in 2021. Furthermore, the number of active traders has fallen dramatically, with the number of active wallets dropping from over 500,000 to less than 20,000.
Bybit’s move is a reflection of broader trends in the NFT space, where trading activity has slowed considerably, and investor interest has waned.
Kosta has reported on cryptocurrency markets and blockchain infrastructure since 2020, bringing over six years of hands-on experience in the crypto industry built through daily tracking of markets, trends, and emerging blockchain developments. Specializing in Bitcoin on-chain analysis, institutional ETF flows, and digital asset price action, his work at Coindoo has been cited by other news agencies and consistently covers market developments with a focus on data-driven reporting across Bitcoin, Ethereum, Solana, and XRP. Over the years, Kosta has contributed to multiple crypto media outlets in different regions, authoring over 6,000 articles across the sector. His reporting spans cryptocurrency markets and the broader fintech industry, tracking not only price action but also the technological and regulatory forces shaping the ecosystem. To support his analysis, Kosta actively leverages on-chain data and metrics from leading platforms such as Santiment, Glassnode, and CryptoQuant, enabling deeper, evidence-based market insights. He believes in the power of transparency and the data that underpins the blockchain ecosystem. His academic background in Marketing Management from Denmark further complements his analytical approach, adding a strong understanding of communication strategy and content positioning to his work.
