The volume of NFT theft decreased significantly in July an over 20% fall compared to June.
A blockchain security company, July saw $1.73 million worth of stolen NFTs — a 23.79% drop compared to June’s $2.27 million, and a 89% drop from a record-breaking $16.2 million in February.
Within a mere 165 minutes, half of the stolen NFTs were sold on various marketplaces. There were platforms used for these transactions, with Blur marketplace leading the way at 67.3% of stolen NFTs initially sold, followed by OpenSea at 19.63%.
The drop in NFT thefts could be partly attributed to the decline in NFT sales over the past months, including July.
NFT market volume and revenues fell by 29% and 23% monthly, respectively. Major collections like Bored Ape Yacht Club and Azuki witnessed their lowest floor prices in almost two years, indicating a struggling market.
The plummeting sales figures indicate a significant shift in the NFT landscape. Trading volumes dropped from $1.1 billion in January to $600 million in July, marking the third consecutive month with trading volume below $1 billion.
Blur, a popular market place has seen a 32% decrease in transactions and 44% in volume from the previous month, as OpenSea’s transactions also dropped by 25% volume from the previous month, as OpenSea’s transactions also dropped by 25% within the same period.
However, some positive trends emerged, notably the increased trading activity on the Polygon network, which accounted for 27% of all deals in July.
The NFT community also faced growing concerns over financial fraud and theft. The FBI issued a warning after witnessing an alarming rise in fraudulent activities targeting NFT enthusiasts. Cybercriminals were found to impersonate authorized NFT developers to defraud unsuspecting consumers.