GameStop NFT marketplace flops as the NFT market is down
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It’s been over a month since GameStop launched an NFT marketplace, and sadly, it’s not going well. On the first day, GameStop generated $2 million in trading volume. Unfortunately, it seems the market’s novelty wore off quickly, and the daily average is only around $178.450.
According to DappRadar, the number of traders on GameStop has dropped by 44.13% in the last 30 days, and the seven-day trading volume was down by 26.31%. Nevertheless, GameStop NFT is doing better than the Coinbase NFT marketplace, which launched earlier this year and is still struggling to attract both creators and collectors.
GameStop unveiled its NFT marketplace in the beta stage last month, along with plans to later release game NFTs and allow Web3 gaming on the platform. It started with a strong debut: More than 50,000 NFTs were listed, and the top 50 collections raised $7.5 million within a week.
So far, the platform isn’t generating profits. The Motley Fool reported that GameStop only takes 2.25% of NFT sales. Therefore, if it generates $10 million per month, it takes $250,000, or $3 million per year, which isn’t a good profit for the company. Currently, the marketplace generates less than $5 million per month.
Bad timing is one of the reasons for the slow Gamestop journey into Web3, as NFTs are suffering from the ‘crypto winter.’ Another reason could be that GameStop is already struggling to increase its revenue. Last year, the company shared a pre-tax loss of $395 million.
Many popular collections are currently experiencing a crisis. The BAYC floor price has dropped by 23.52% in the past 30 days, CryptoPunks’ decreased by 15.83%, and Moonbirds’ floor plummeted by 44.15%.
Perhaps the company will see better results in the next bull market or when the GameStop NFT marketplace adds blockchain gaming features.
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