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nft marketplace OpenSea is seeing user activity on its platform drop to its lowest level since 2021.
The nft platform, once hailed as the leading nft marketplace, is now struggling to maintain its dominance as newer platforms like Magic Eden and Blur are capturing more activity.
Data Token terminal data show that OpenSea's nft trading volumes have plummeted by 33% in the last 30 days, now standing at $89 million. The platform's weekly user base has also decreased to about 21,000 traders.
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This drop has seen OpenSea return to its 2021 trading levels, a period of low nft activity. In April, the number of monthly users stood at around 73,000, the lowest since August 2021. At its peak, OpenSea had more than 500,000 monthly active users, reflecting how recent changes have challenged its competitiveness.
Despite the overall increase in nft trading volumes, OpenSea is struggling as much of this activity flows to its rivals Blur and Magic Eden.
Sales volume on OpenSea has also plummeted, with the number of nfts sold in April falling to 134,197. This figure marks the lowest since June 2021 and is 19 times lower than the peak when the market facilitated the sale of more than 2.5 million nfts in a single month.
Monthly trading volumes have also shrunk, falling below $100 million this year for the first time. During its peak, OpenSea's monthly volumes approached $5 billion. This decline has significantly impacted revenue, and fees charged remain high despite rising ethereum prices. However, these fees have failed to improve OpenSea's revenue prospects, with royalties hitting an all-time low in April.
The rise of Blur and Magic Eden has put pressure on OpenSea, which now ranks third in the industry, with about 9.5% of the total nft trading volume. Blur dominates with over 67% market share, while Magic Eden follows with over 14%.
Amid these challenges, OpenSea CEO Devin Finzer has hinted at a possible sale of the company, acknowledging the difficulties the platform faces in a rapidly evolving market.
