Blur, an NFT marketplace, leads the market share for Ethereum-based NFT transactions. At least 84% of transfers during the first week of March were made on Blur, surpassing the February high of 68%.
Blur reached new heights in February 2023 after launching its native token, Blur, attracting new users with airdrops, token incentives, and cheap trading fees.
According to data from CoinGecko, the token generated over $1.1 billion in volume in the first 24 hours after it was introduced. In the same month, Blur announced the release of $300 million in BLUR tokens for its loyal users.
According to the platform’s tweet, users would be rewarded based on their loyalty scores calculated from their interactions with the virtual market. Blur issued the airdrop as BLUR tokens in their ‘Season 2’, which is already in progress.
Blur is giving OpenSea a run for its money
Blur has gained more market share than OpenSea in the last two months and now has twice the market share of OpenSea. In January, the probability of overtaking OpenSea was around 43%.
OpenSea, the former market leader, has trailed Blur in market share since December 2022, according to data from Dune Analytics.
Both platforms have provided exclusive benefits to members who have blocked the other. Also, Blur recently implemented creator royalties for non-OpenSea collections.
The overall NFT market saw a significant increase in overall transaction volume in February, reaching its highest level since May 2022.
Thomas Bialek, a research analyst, describes the combination of low fees, airdrops and token incentives as a powerful cocktail. However, according to him, it is still being determined if the increase is long-lasting or solely due to the Blur rewards.
Bialek added that the competitive NFT market war would continue to heat up in the coming months, with Blur requiring proof of the viability of their strategy and OpenSea needing to devise a successful counterattack.
The NFT market is highly competitive and is driven by several factors, including user experience, technology, fees, and incentives. It is also subject to changing market conditions and trends.
While Blur’s approach has been successful so far, we still have to see if it can maintain its market share in the face of growing competition.
