Half of the NFT trades on Ethereum are fraudulent — This team aims to fix it
The NFT market needs to weed outwash traders to become a sustainable and reliable environment. The nonfungible token (NFT) market has seen an unprecedented number of new NFT collections introduced in 2022 despite the year-long crypto winter, showing that the turbulent state of the crypto market was not enough to deter NFT creators and collectors. With more than half a million new contracts across Ethereum, Polygon and Avalanche, the NFT market inevitably met with its own set of troubles, with the primary issue being NFT wash trading. A recent study by AI-powered NFT analytics provider bitsCrunch and Cointelegraph Research titled “BitsCrunch NFT Wash Trade Report for 2022” revealed that over 610,000 new NFT contracts were made during 2022, showing an 860% jump from the previous year. This translated into over 85 million new NFTs, largely thanks to the recent surges in NFT gaming and sports-related collectibles. The total NFT sale volume for 2022 hit $54 billion, with Yuga Labs, the tea...