GM and happy(?) Tuesday!

Digital Collectibles are on a wild ride this week. With the bloodbath going on in crypto, NFTs witness a downturn unlike any other - with marketplaces closing shop and floor prices down bad (BAYC floor floats around 20 ETH as of today).

Today we cover all the news that led to this point, and ask the ever-hanging question: Will NFTs return to their 2021 highs again?

You’re reading To The Moon, strap in rocketeers, let’s deal with this asteroid!

Writer & Curator: Vineet

📈📉Biggest Changes in Floor Price (7days)

Digital Collectibles Market Movements: The Azuki downfall continues with a 28% drop in floor price, following Moonbirds 32% decline. On the other hand, creators like Matt Furie are going headstrong (‘Hed’strong?) in this bear market. With all the royalty changes and discussions floating around NFTs, we wonder if the next bull run will be filled with independent creators rather than big brands, marketplaces, and projects.

🌚Full Moons - OpenSea Scraps Enforced Royalties, Will We Ever See The Light?

Hate To See You Leave, Recur

Recur surprised everyone by announcing the gradual shutdown of its Web3 platform. This comes after the pioneering NFT startup (known for hosting popular brands like Hello Kitty and Nickelodeon) successfully raised $50 million in a funding round that valued the company at $333 million.

• Last year, Recur made waves with its "jet-setting NFT experience," featuring characters from Hello Kitty and Nickelodeon.

• However, just a little over a year later, Recur is winding down, losing core features like NFT withdrawals and trading within their marketplaces.

Despite this, Recur plans to keep its digital collectibles safe by moving them to decentralized networks like IPFS. This emphasizes the importance of protecting digital assets in a changing market.

In Web3, nothing is truly lost (unless your wallet gets drained).

Recur's unexpected closure serves as a lesson about NFT market volatility and the need for adaptable strategies.

OpenSea Royalties Move Sparks Debate Across The Land

NFT marketplace OpenSea is changing its creator royalties setup by introducing optional fees for new collections starting in September. The Operator Filter, previously used to enforce on-chain royalties, will be disabled on August 31. This means creators will have more flexibility, but collections using the filter will still maintain their creator fee royalties on OpenSea until February 29.

Although creator fees won't be enforced, they're not vanishing. OpenSea introduced the Operator Filter last November to give creators control over sales and royalties, but it wasn't widely adopted.

• Royalties were essential for NFT artists' ongoing income, but debates emerged after platforms like X2Y2 experimented with 0% creator royalties.

OpenSea initially advocated for royalties up to 10% but adjusted due to conflicts with platforms like Blur enforcing lower fees.

The move to optional fees for new collections reflects the NFT space's evolving revenue models and aims for a balanced approach benefiting creators, buyers, and the broader ecosystem. Not everyone is happy with this, just ask Opensea investor Mark Cuban.

So, Will We Ever Ride The 2021 NFT Waves Again, Anon?

Back in 2021, NFTs were soaring high with celebrity endorsements and big profits. But things changed as the crypto market dipped, causing a "bloodbath" for NFTs. The bullish market of 2021 was fueled by unexpected factors, like legal currency in El Salvador and growing interest in crypto casinos.

• The question is whether NFTs can regain their past glory. Some believe projects like Mutant Ape Yacht Club (MAYC) could see a revival in a future bull market.

  • Potential catalysts may include big news like a BlackRock ETF or Bitcoin halving.

While NFTs won't disappear, their return to 2021 levels seems unlikely in the current market. Positive market action, especially in Bitcoin, could lay the groundwork for NFT resurgence, but the future remains uncertain.

In the ever-changing crypto world, anything is possible. To quote NFT philosophers of old - we must seize the memes of production!

🔭The Scope

The bear market is a grueling time for both brands and creators, but more so towards creators. OpenSea’s enforced royalty removal causes ripples in the fabric that threads the market together - affecting the artists directly. The true impact of this decision is going to be experienced in real-time (good or bad is another question entirely), but the bigger question is - when the Bull market DOES return, how many creators would be inclined to still trust huge platforms? Platforms like RECUR have already left in these unstable conditions. Would there arise a newer, better platform for creators? Only time will tell…

🌓Half Moons

The crypto world buzzed with reactions as FTX's founder Sam Bankman-Fried had his bail revoked due to witness tampering charges, drawing a mix of comments on Twitter about his situation in the wake of FTX's collapse and broader legal troubles.

Blockchain investigator ZachXBT revealed that Jeffrey "Machi Big Brother" Huang dropped his defamation lawsuit after ZachXBT altered his investigation's claims, demonstrating the interplay between free speech, accountability, and the evolving legal landscape in the Web3 industry.

Finn DeGods, co-founder of DeLabs responsible for Ethereum NFT collections like DeGods and y00ts, announced their departure from the project due to a “misalignment of skill sets for the project's growth”, coinciding with challenges faced by the collections, including market volatility and content drops.

🔭The Scope

Between SBF’s bail denial and MachiBigBrother’s lawsuit being dropped, we forget to read between the lines. Cofounder of DeLabs - Finn DeGods - has left his main project on to newer things. Does this signal an incoming downfall of the project or just a regular change of the guards? According to Frank DeGods, there is no ill will in his decision to leave, and Finn continues to support the project. Frank also tweeted earlier that they’ve been in this position before, and they’ve had one of the best comeback runs in NFTs - ever.

⚪Total Eclipse

💫Shooting Star

This week’s shooting star is Andrew Mitchell

Andrew is a Virginia-based generative artist and the Co-Founder of Mitchell and Yun Studios, renowned for their creation of the Primera collection. With a Computer Science degree from the University of Virginia, Andrew has crafted 8 sold-out generative art collections comprising 1000+ items. His work has graced prestigious venues like Times Square and Art Basel Miami. Andrew's commitment to art preservation is reflected in his creation of custom Ethereum smart contracts, ensuring his art's enduring presence on the blockchain.

Meme of the Day