According to recent research, the current $3 billion market capitalization for non-fungible tokens (NFTs) will increase to $13.6 billion by the end of 2027, showing the rising interest in the field among today’s investors.
The increasing participation of popular influencers, gaming communities, and the increased growth of digital artworks will continue to be major elements in the worldwide NFT boom over the next five years.
Surprisingly, research firm MarketsandMarkets expects that numerous additional reasons would help to the NFT market’s enormous explosion, including its expanding use cases in supply chain management, retail, and fashion.
NFT marketplaces, which allow investors to buy and sell NFTs, are presently predicted to contribute the most to the NFT ecosystem’s growth. While known firms such as OpenSea currently dominate the industry, crypto exchanges such as Coinbase and Binance have begun to provide comparable services for trading NFTs on the open market.
Metaverse approaches by current market players like Meta and the customization of NFTs are two more catalysts that are well-positioned to accelerate the growth of the NFT market.
As it became known earlier on increased interest from Asia-Pacific (APAC) investors as local NFT-related Google searches increased in the area. This tendency was also mentioned by MarketsandMarkets:
“APAC countries are emerging toward constant developments and marketplace launches in the given market to give creators and buyers equal opportunities in the ecosystem.”
The lack of legal acceptance for crypto trading or mining is one of the primary causes ascribed to the surge in NFT searches in countries such as Hong Kong, Singapore, and China.
Elon Musk, the CEO of Tesla and a long-time supporter of Dogecoin (DOGE), recently set his profile image on Twitter to a mashup of many popular NFTs made by Bored Apes Yacht Club (BAYC). The momentary change in Musk’s profile pic caused BAYC’s floor price to rise by 10 Ether (ETH).
Nevertheless, after some in the community misinterpreted Musk’s gesture as an entrance into the NFT area, Elon explained his position on Twitter:
“I dunno … seems kinda fungible.”