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Kraken closes NFT marketplace: signs of an over trend?
By Daniele Corno
Exchange Kraken announces closure of its NFT marketplace, stop in February 2025. The focus seems to be shifting from a trend that is now over
End of Kraken's NFT marketplace
Kraken, a leading cryptocurrencyexchange, has decided to close its NFT marketplace.
After November 27, 2024, it will no longer be possible to list, bid on, or sell items. Users will only be able to withdraw their assets, while the final closure will take place on February 27, 2025.
This choice reflects the global decline in interest in non-fungible tokens. A market that, after peaking between 2021 and 2022, now shows steadily declining volumes. Data confirm this trend: compared to weekly peaks of over $3 billion in 2021, NFT trading has not exceeded $200 million weekly since April 2024.
Kraken, therefore, wants to allocate resources to new products, leaving the NFT sector, which is now no longer a priority.
The evolution and decline of the NFT market
Kraken had launched its NFT marketplace in 2021, riding on the enthusiasm associated with the previous market cycle, with apublic opening in 2022. Since then, however, the industry has seen a sharp decline.
At first, weekly sales averaged over $500 million. Volumes, however, have declined steadily since 2022, the accomplice of a saturated market and reduced interest. Not even moments of hype, such as the Ordinals on Bitcoin in winter 2023, have been able to turn the tide, although they have multiplied weekly volumes compared to previous months.
With this decision, Kraken demonstrates its intention to focus on more promising segments. Users will, however, be able to transfer their NFTs to custodial or non-custodial wallets without any problems.
