CHART OF THE DAY: The NFT Market Is Growing Rapidly

05/07/21 07:41AM EDT

Below is a chart and brief excerpt from today's Early Look written by Retail analyst Jeremy McLean.

As the chart of the day below shows, (according to NFT transaction volume in 2020 was $251mm, that number became $2bn in just 1Q of 2021.  With the buzz around the space, it may sound bubbly, and perhaps it is. 

But we think NFTs have the potential to be a real value-creating channel for consumer content generators for a long time, including for recognizable public companies. 

You may think its crazy to pay $500 for a piece of digital content.  To that I would say, as a utility focused shopper, it’s just as crazy to pay $300 for a pair of sneakers, or $700 for handbag. Yet people do that all the time and we invest in it. I won’t judge if there is money to be made.

Even if it is a ‘bubble’, our take today is that it is probably going to get a lot bubblier. Those are the bubbles you want to buy. 

Who knows, maybe you’ll even see some Hedgeye NFTs on the market someday.

CHART OF THE DAY: The NFT Market Is Growing Rapidly  - sts3

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