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OpenSea Sees Decline in User Activity, Hits Lowest Levels Since 2021
NFT marketplace OpenSea is experiencing a significant drop in user activity, reaching its lowest levels since 2021. Once the leading platform for NFTs, OpenSea is now losing ground to newer competitors like Magic Eden and Blur, which are attracting more users and trading volume.
According to data from Token Terminal, OpenSea’s NFT trading volumes have plummeted by 33% over the past 30 days, now totaling $89 million. Additionally, the platform’s weekly user base has declined to approximately 21,000 traders.
This downturn has pushed OpenSea back to its 2021 trading levels, a time of relatively low NFT activity. In April, the platform’s monthly user numbers fell to around 73,000, the lowest since August 2021. At its peak, OpenSea had over 500,000 monthly active users, highlighting the recent challenges to its market position.
Despite the overall increase in NFT trading volumes, OpenSea is struggling as much of this activity has shifted to rivals Blur and Magic Eden.
OpenSea’s sales volume has also declined, with the number of NFTs sold in April dropping to 134,197. This is the lowest figure since June 2021 and significantly less than its peak when the platform sold over 2.5 million NFTs in a single month.
Monthly trading volumes have similarly decreased, falling below $100 million this year for the first time. During its peak, OpenSea’s monthly volumes approached $5 billion. This decline has had a substantial impact on revenue, as high fees and rising Ethereum prices have not improved OpenSea’s financial outlook. Royalty fees reached a record low in April.
The rise of Blur and Magic Eden has significantly pressured OpenSea, which now ranks third in the industry with about 9.5% of the total NFT trading volume. Blur leads with over 67% market share, followed by Magic Eden with over 14%.
Amid these challenges, OpenSea CEO Devin Finzer has hinted at the possibility of selling the company, acknowledging the platform’s struggles in the rapidly evolving NFT marketplace.
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