From millions of dollars to under a grand: The dramatic fall of the NFT

"Justin Bieber bought a digital image of a bored monkey. He paid $1.3 million for it. The ape was No. 3001 of the Bored Ape Yacht Club NFT series, which at the time was taking investors by storm at similarly extravagant prices. A few months passed, and Bieber doubled down, adding to his collection another e-monkey from the same series. This time, it was No. 3850, for which he paid $440,000."

"By the next year, and after the general plummet of the crypto market, both holdings had lost approximately 90% of their value, and were optimistically priced at around $120,000 for the pair. Brad Troemel, an artist and online personality, posted on Instagram a collection of cases illustrating the spectacular investment disasters suffered by social media users who had bought NFTs."

"A year and a half ago, EL PAIS explained that the NFT market had plummeted immediately after its moment of glory in 2021 and 2022. Since then, the situation has not recovered, and most of those who once believed the NFT universe offered either a viable future for art or a quick and easy path to wealth now regret that temporary infatuation."

The NFT market experienced a dramatic boom in 2021-2022, attracting major investors and celebrities who paid extraordinary prices for digital assets. Justin Bieber purchased Bored Ape Yacht Club NFTs for $1.3 million and $440,000, but both holdings lost roughly 90% of their value within a year. Similar catastrophic losses affected numerous investors across the market. Brad Troemel documented cases of NFT buyers who suffered devastating financial losses, with some assets dropping from tens of thousands of dollars to nearly worthless. The NFT market has not recovered since its initial plummet, leaving most investors regretting their participation. The phenomenon proved to be both an artistic failure and a financial disaster for those who believed in its viability.

Read at english.elpais.com