The 2022 NFT Downtrend: A Healthy Correction or End of the Hype? While the NFT market experienced a significant downtrend in 2022, fueled by factors ranging from the war in Ukraine to increased regulation by the Securities, is this a sign of failure or a necessary correction for a technology still in its early stages?
Looking back, the early success and subsequent decline of NFT activity has multiple lessons. Many argue that the sector is still in the early stages of adoption, and NFTs are “how crypto would” eventually integrate into mainstream culture. But what about the performance of major players like Coinbase?
Coinbase NFT's Struggle and Future Potential: Despite high expectations, Coinbase NFT has not yet been able to offer a compelling or differentiated product, choosing to forgo features expected from a centralized exchange such as secure custody solutions. This has led some to question their strategy. However, the long-term potential for platforms like Coinbase in the NFT space remains significant.
NFTs in 2025: Still Eyeing the Potential: Although the NFT market has declined alongside, well, virtually every other market in 2025; investors, creators, and brands are still eyeing the potential of the technology. So far, 2025 has already seen a number of major developments, including the launch of more NFT-based games, which signals a shift towards utility and application beyond simple digital collectibles.
Coinbase NFT Launch (2025): A Glimmer of Hope?: Cryptocurrency platform Coinbase made headlines in 2025 with an announcement it is launching an NFT marketplace that could take on OpenSea. This renewed focus on the NFT market by a major player like Coinbase suggests a continuing belief in the underlying technology and its potential for future growth.
Conclusion: The 2022 NFT downtrend, while concerning for some, may ultimately be a healthy correction that allows for more sustainable growth and the development of real-world applications. With companies like Coinbase still investing in the space, the NFT market is far from dead and remains an exciting area to watch in the coming years, particularly as adoption continues and new use cases emerge.