Which Way to the Correct Data?
In a well-distributed article released on CoinDesk and a variety of other outlets on January 1st, December 2020 crypto art sales were announced to be $8.2 million USD. A few days later, close to $9 million USD in sales were reported for December. With the NFT art data game still evolving, the actual numbers are clearly higher.
Currently Crypto Art is tracking sales on:
These are all prominent platforms but other major sales outlets include OpenSea and Rarible which are unaccounted for though essential for understanding the market.
NonFungible includes data from the same set as Crypto Art except for Nifty Gateway, which is a major exclusion in terms of sales. NonFungible also excludes OpenSea and Rarible.
However, work sold through OpenSea and Rarible that are attributable to such platforms as SuperRare show up under those projects. In addition, NonFungible includes a variety of projects such as Art Blocks which have significant sales but are not included in Crypto Art’s shorter list.
It’s quite obvious crypto art sales were well over $9 million USD for December, 2020 but some leg work would be needed to come up with a more accurate figure
Why Are Crypto Art Data Companies Falling Short?
At this point crypto art and nft data is an emerging enterprise, as is the whole game across the board! But it’s clear that attempting to automate sales and other data has a long ways to go despite the often lauded promises of blockchain technology. More human research will be required to get to accurate data.
In terms of the nft data business, the game is still wide open. A well-funded research firm could walk in at any point and outperform current offerings. For companies like Crypto Art and NonFungible, this situation calls for exploiting early mover status and looking for long-term differentiators.
But, however one looks at it, the winner will be the company that brings the most data to the table and presents it effectively.
Why Is Crypto Media Falling Short?
The things I’m pointing out above are not meant as strong criticisms but rather as a sober assessment of the current situation. However, media outlets are doing crypto art and the nft scene a huge disservice by not pointing out the obvious exclusions of highly visible NFT marketplaces and sales outlets.
Any dime store stock market reporter would point out such concerns in public market data. This situation does not speak to the early nature of crypto reporting. It speaks to crypto reporters not applying basic business news practices which are not significantly different when it comes to data analysis.
Maybe the money’s just been too easy for crypto media but the industry needs accurate data and data companies will inevitably improve. It’s important that crypto journalism improves as well.
Photo by Sergey Isakhanyan via Unsplash.