NFTs
Ethereum NFTs Drop as Blur Season 3 Ends
Many popular NFT collections posted double-digit percentage losses last week as BLUR airdrop farmers unloaded their stocks.
With Blur Season 3 expected to end in the coming weeks, Ethereum-based NFTs are being sold in droves.
Season 3 is Blur’s ongoing airdrop farming campaign where users will be rewarded with [REDACTED], powered by explosion. Traders assume this will come in the form of the Blast Layer 2 network’s next token.
Blur Season 3
Blur users earn points by bidding on NFTs and providing liquidity for loans through its lending infrastructure, Mixture. Blur’s incentivized bidding and loan provision have been controversial as liquidity is not representative of actual demand and often results in the same NFTs being traded from farmer to farmer.
Some market participants consider this to be a negative for the space as a whole, as true collectors may be reluctant to enter the market when a substantial portion of the supply is in the hands of farmers who could abandon their NFTs at any time. depressing prices.
Amid growing uncertainty, NFT traders and collectors are bracing for a potential further drop in prices after Season 3 ends. Reduced liquidity if incentivized bidding is eliminated is a key concern. Some Blur farmers are already taking preventive measures by closing their NFT and Blur farming positions.
Many top Ethereum NFT collections, such as Pudgy Penguins, Bored Ape Yacht Club, and Milady Maker, have fallen between 6% and 30% over the past week as Blur farmers trimmed their positions.
Meanwhile, notable NFTs that are not traded on Blur, such as CryptoPunks, have risen slightly over the past week.