Peckshield, a blockchain security and data analytics company, reports that NFT theft has decreased dramatically in July, in comparison to similar activity in June. The company also reports that NFTs thieves often rely on NFT trading platforms such as Blur and Opensea to dispose of stolen NFTs.
Meanwhile, data shows that investors and traders are steadily decreasing their purchases and sales of graphic digital assets.
“In July 2023, ~$1.73M worth of #NFTs were stolen, marking a 31% decrease compared to the previous month,” reports Peckshield. While the news may come as a positive sign that blockchains are potentially performing the security function they were meant for, it’s only when one examines the overall activity of the NFT market does it seem clear that it’s not that simple.
In July 2023, overall NFT trading on Ethereum amounted to $455.6 million, representing 26.4% of the market’s activity in February 2023. Going from $1.72 billion in overall trading, the NFT market saw a significant plummet in the coming months. March witnessed ~$1.5 billion, April $1.08 billion, and May $663.5 million.
This could be directly related to the fact that many notable NFT assets have lost significant value in relatively short periods of time. It could also be argued that the market is now catching up to the potential instability in the NFT market, where creators may immediately influence the pricing of NFTs already owned by enthusiasts, causing them to lose fortunes in the process.
According to Peckshield , “The percentage of stolen NFTs initially sold on Blur was 67.3%, followed by Opensea with 19.63%”
Obviously, neither platform has made any claim to support nor condone NFT theft or any other type of theft. However, both platforms provide features that make them the go-to for any NFT sales, including those acquired suspiciously.
Both Opensea and Blur have rather unique yield systems and superior liquidity functions that attract users worldwide.
Blur charges zero fees on trading while pushing a native token that can be earned by trading NFTs. Moreover, the platform uses an “incentivized liquidity” strategy, where users may earn from holding on to their digital assets.