The NFT market, once a booming sector of the cryptocurrency space, has faced a major decline since late 2022. Despite this downturn, many investors remain hopeful about the future of NFTs, while others are choosing to leave the market for various reasons.
Our recent survey aimed to find out whether people are staying or leaving the NFT market and the main factors influencing their decisions. This research report presents the key findings of this survey, exploring why some investors continue to hold on to their NFTs, why others are exiting, and what the future might hold for the NFT market.
Key Findings
- Although 96% of NFTs are considered ‘dead’, almost two-thirds of NFT investors plan to continue staying in the NFT market.
- 57% of NFT owners choose profit as their main reason to stay invested in NFTs, with 80.7% of them aiming for long-term profits.
- When facing a significant drop in NFT prices, 69.7% of long-term investors keep holding their NFTs and wait for the market to recover.
- 1 out of 3 investors wants to leave the market due to the decline in NFT prices.
- Among investors who lost interest in NFTs, 55.1% admitted it is because the hype surrounding NFTs is dead.
2 Out Of 3 Investors Plan to Continue Holding NFTs
Even though there are significant challenges facing the NFT market, a large number of investors remain committed. Despite reports that 96% of NFTs are considered “dead” (meaning they have little or no activity or value), 66.5% of NFT holders plan to stay in the market, while the rest are planning to leave the market.
Among those who choose to stay in the NFT market, 67.3% of investors believe that the growth of NFTs will be driven by positive market sentiment and increased adoption. Those are confident that NFTs have long-term potential and will continue to expand as more industries adopt the technology.
A significant portion, 36.7%, see positive market sentiment as a key factor, while 30.6% point to the growing use of NFTs across various industries as a reason for their optimism. Additionally, 19.6% are excited about upcoming NFT projects, and 13.2% believe that new regulatory developments will further support the market’s growth.
Among those planning to leave the NFT market, 65.5% of investors intend to sell all their NFTs before making their exit. This reflects a desire to fully liquidate their assets, with 65.5% committed to selling everything, 22.33% planning to sell only part of their NFT collection, and 12.14% choosing to hold onto their NFTs, possibly in hopes of future gains despite their exit.
Furthermore, 72.3% of these investors plan to leave the market by 2026, indicating a clear timeframe for their departure. Of this group, 36.4% aim to exit within 2024, and 35.9% in 2025, while 27.7% remain undecided, potentially waiting for market conditions to improve before finalizing their decision. This suggests that while many have lost confidence, some are still weighing their options before fully leaving.
Reasons Investors Still Stay With NFTs
For 56.97% of NFT holders, profit is the primary factor influencing their decision to remain invested in the market. Other motivations, while less common, also play a role in keeping investors engaged. About 19.8% of holders stay because of the practical utility and benefits NFTs offer, such as rewards or exclusive access to events.
Meanwhile, 10.76% of investors are motivated by a desire to support the NFT community, finding value in shared interests and connections. Lastly, 12.47% of holders continue investing due to their interest in NFT art.
Earning Profits from NFTs
Among those who focus on earning profits, most NFT holders make money through a few key methods. About 42.1% engage in flipping NFTs, where they buy low and sell high. Another 37.3% earn profits from utility benefits, such as in-game rewards or digital assets, while 29.6% benefit from airdrops—free NFT distributions.
Additionally, 29.2% of investors create and sell their own NFTs, and 22.7% choose to hold their NFTs (HODL) with the hope of future value increases.
Among the investors focused on earning profits, 80.7% are holding their NFTs to achieve long-term profits. In contrast, only 19.3% are aiming for short-term gains, indicating that the majority of investors are willing to wait for the market to mature and deliver returns over a longer period.
Among people who choose long-term profits, 32.4% intend to invest in NFTs for at least three more years. Meanwhile, 31.4% expect to hold their assets for one to three years, and 3.2% for less than a year, while 31.4% are undecided about their holding time.
Among these, when NFT prices drop,
