Non-fungible token (NFT) sceptics have been having a field day over the past few months. It is impossible to count the number of times publishers have led with the headline “NFTs are dead!”.
Yet in the midst of the despair and bearish sentiment in the market, Reddit just became the biggest NFT platform by user base in a space of three months after 2.5 million users created wallets to buy its NFT avatars.
Reddit’s NFT journey couldn’t have gotten up to a more exciting start. The popular social news aggregator platform’s NFTs (digital collectible avatars) rallied to a cumulative sales volume of $10 million on October 31, barely three months after its launch.
The rapid rise in sales volume comes following the platform’s launch of its second series of Reddit collectibles avatars on October 20.Image source: Dune Analytics
In July, Reddit launched itsPolygon-basedNFT marketplace and vault wallet, allowing users to trade and store NFTs avatars— (a collection of digital avatars created by independent artists based on Reddit’s mascot Snoo).
AnNFTis a cryptographic file representing proof of ownership of a JPEG, a music track, a video clip, artwork, a digital collectible or merchandise. Holders of Reddit collectible avatars have the right to use the avatars as profile pictures on and off the platform.
Reddit NFT avatars were first offered to members of the r/CollectibleAvatars, an invite-only subreddit. In the first phase, Reddit sold 86,000 NFTs priced between$10 and $100, allowing users to buy in crypto or fiat with debit or credit cards.
Last week, the Reddit NFT marketplace witnessed a significant spike in transaction volume, rising 168% to $5.9 million according to CryptoSlam data.Image source: CryptoSlam.io
The rapid rise in Reddit NFT sales also appeared to boost NFT activity on Polygon blockchain with the Layer 2 scaling protocol boosting Polygon NFT transactions on OpenSea to $14.59 million in October.
On-chain data obtained from a dashboard on Dune Analytics indicates that OpenSea Polygon Volume witnessed a huge spike last week, with October 24, posting a daily high of $3.8 million.Image source: Dune Analytics
Last week, Reddit’s chief product officer Pali Bhat said the platform users created over 3 million Polygon wallets, withmore than 2.5 millioncreated to buy NFTs avatars. That’s already more than the 1.827 million users registered on OpenSea. The platform now boasts a whopping 2.87 million Reddit NFT holders, with just 3.79% being whales, according to the Polygon Analytics Dune dashboard.
Reddit boasts 52 million daily active users. With the platform allowing users to buy collectible avatars using debit and credit cards, Reddit is strategically positioned to onboard a big chunk of its user base to the world of NFTs.
On Monday, the company airdropped 5000 new Reddit Collectibles intothe metaverseto celebrate the good start to its NFT journey.
Dubbed the CryptoSnoos NFTs, in honour of the famous Reddit mascot, the NFTs are classified into three (Legendary, Epic and Rare), depending on rarity. Legendary is a one-of-a-kind NFT and the rarest of them all.