The NFT space has contributed to traction and growth in Solana over the last year, with the token hitting All-Time-Highs at >$250. In this article, we will digress into the attributed factors for Solana as a platform of choice and the current activity of NFTs on the various native marketplaces.
The NFT space in Solana has been booming compared to other L1 chains due to a few key factors:
1) Cost of minting a NFT is very low compared to other chains.
- The main costs associated with NFTs are gas, account and listing fees. Solana is an affordable alternative — of which a total of 3 blockchain transactions will take place when minting, with each transaction’s cost being roughly around 0.004 SOL. This amounts to only a few cents in USD value.
2) Ease of minting a NFT
- Developers are able to easily generate NFTs through Metaplex’s candy machine. Metaplex acts as the medium for artists and creators to launch their self-hosted NFT storefronts easily, allowing even the average Joe to release their work on the decentralized platforms.
3) Trading of NFTs in Solana on marketplaces is negligible.
- Similar to point 1, the transaction fees on the Solana network remove the barrier of high integration costs and likewise expand the reach for a greater network of market participants. A high majority of users will not be able to afford exorbitant fees even while executing the simplest of on-chain activity, thus Solana is seen as the go-to option.
Let’s break down the metrics of the marketplaces in Solana:
The key marketplaces in Solana includes MagicEden, SolSea, DigitalEyes, Metaplex & Solanart. With an abundance of marketplaces to trade, it drives much traffic within the ecosystem towards NFTs.
NFT Transactions
The total transactions per day, which involves buying, selling and bidding for NFTs on these platforms total up to an amount of approximately 300k transactions per day.
MagicEden still holds dominance as it is involved in 80% of these transactions. Considering that the total non-vote transactions in Solana per day is approximately 50 million, transactions involving these marketplaces accounts for 6% of all total transactions.
NFT Volume
Taking a deeper look into the volume of SOL traded on these platforms: the total amount of SOL per day is approximately 240k SOL (~$24,000,000).
Active Users
There are a total of ~400k active daily users on the marketplaces, with a high majority of accounts interacting on MagicEden.
Conclusion
As we see from the charts above, a large majority of on-chain statistics is still pioneered by Magic Eden as the leading marketplace on Solana. Some of their primed collections include Portals and Super Shadowy Coders DAO. Metaplex Dashboards are also now available on our website.
The concept of NFTs has become exceedingly popular within the crypto and artistic communities. In our pursuit of revolutionizing the meaning of digital ownership, NFTs today is increasingly utilized as ways to not only add value with monetary incentives but also serves as gateways to wider communities.
We believe the space has still much potential to grow, of which we will keep tracking and provide users with detailed metrics and analysis of on-chain data.
SolanaFM is the First Queryable Indexer that allows users to access historical data on-chain through dynamic Rest APIs & GraphQL, easily supporting queries beyond 20TB. It provides Indexing-As-A-Service (IaaS), saving protocols time and cost while founders can focus on building their projects. On-chain statistics are also available for public viewing with regard to activity on the Solana Network.
Find out more here: https://solana.fm/statistics.
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