ALGOxNFT Marketplace

Q65. ALGOxNFT is one of the quickest growing NFT marketplaces on Algorand. Let’s take a deeper look into ALGOxNFT sales over 2022.

Introduction

In this article we take a close look at the algorand ecosystem based NFT marketplace AlgoxNFT and analyse its performance. For that we first should learn a bit about NFT and understand what an NFT marketplace is, then we can go to understand about algoxnft and learn to analyse it.

NFT : Non-Fungible Token (NFT)

“Non-fungible” more or less means that it’s unique and can’t be replaced with something else. For example, a bitcoin is fungible — trade one for another bitcoin, and you’ll have exactly the same thing. A one-of-a-kind trading card, however, is non-fungible. If you traded it for a different card, you’d have something completely different. An NFT (and, if applicable, the associated license to use, copy or display the underlying asset) can be traded and sold on digital markets. You can read more about it on the excellent article by the verge here.

NFT marketplace

an NFT marketplace is your gateway to participating in the purchase and sale of these digital assets -- from art to music to entire virtual worlds. Think of NFT marketplaces as your Amazon of the digital realm. Anyone who would like to interact with, and trade NFT should follow the guidelines set by the contract developer. And yeah, all of the NFT marketplaces work on the concept of smart contracts. This way, both parties know that there is no double spending and that they are not being scammed. For facilitating this, the marketplace, usually asks for a small percentage or commission of the sale made on the platform.

Here are some of the most popular NFT marketplaces:

Opensea
Foundation
Axie Marketplace
Larva Labs/CryptoPunks
Rarible

Reference

Algorand NFT marketplaces

Not one,Not two, but many !! Yeah, there are a lot of marketplaces for NFT on algorand. There are several of them. Some of them are

Algogems
AB2 gallery
Rand gallery
algoxnft
Abris

Out of the above 5 NFT market place, we shall be looking at AlgoxNFT.

AlgoxNFT

AlgoxNFT is a decentralised NFT market place hosted on the algorand blockchain that was created to facilitate NFT trading. It is a trust less, permission-less and secure trading ecosystem made possible using layer-1 smart contracts. It also automatically credits the royalty fees to the creator when the NFT is resold.

How does AlgoxNFT make money ?

Fee structure : They charge a listing fee (0.5 ALGO) per auction, and a sale percentage (3.5%) per auction.

Royalty : They support a royalty range of 1-95% at the seller's discretion, with a 1% minimum royalty on all auctions. Upon completion of the auction, the royalty will automatically be paid out to the creator wallet from the escrow account.

Analysis

We start our analysis on the algorand NFT market place ALGOxNFT. We start with looking at the sales amount

What is the Total Number of Assets Sold from AB2 Gallery?

Daily volume of sales in ALGOs

In this part, we see how much algo is traded on algoxnft every day.

We see that there is a bump on may 6. We take a closer look on which assets caused the spike.

We notice that the asset 728089801 (Alvatars Season 1.5 Pack) sold 420 of its NFTs during the two days, this lead to the spike on the numbers.

We see that a total of 12k NFT were sold on algoxnft since its inception

On may 6th of 2022, we observed that there was a spike in the number of NFTs sold. On digging up more, we realise that the spike was created because of the sale of alvatars season 1.5 pack NFTs. Around 420 NFTs were minted solely because of that.

The peak of sale occured on May 2 2022, with around 80k algos being used for trading algos. It is surprising to see that though the highest number of sales were on may ^, the amount of revenue generated was mediocre. This indicates, that the alvatars NFT wasn't a huge hit among the users. We now look at the total volume generated.

A total of 1.2 M algo has been used to trade NFTS on algoxNFT since its inception.

FEES

We now have a look at the fees generated by the marketplace.