Are people buying their own NFTS to drive up prices?

The NFT marketplace is rife with people buying their own NFTs in order to drive up prices, according to a report released this week by blockchain data firm Chainalysis. Known as “wash trading”, the act of buying and selling a security in order to fool the market was once commonplace on Wall Street, and has been illegal for nearly a century.

Are NFT traders wash trading?

Many NFT traders are engaging in wash trading, says a new report. The NFT marketplace is rife with people buying their own NFTs in order to drive up prices, according to a report released this week by blockchain data firm Chainalysis.

How many times have NFTS been sold back and forth?

Chainalysis identified and tracked NFTs that were sold back and forth at least 25 times by the same handful of cryptocurrency wallets. Some people repeatedly sell themselves their own NFTs in an attempt to artificially inflate their prices, according to a report published Wednesday.

How much is the NFT marketplace worth?

The NFT marketplace is estimated to be worth anywhere from $7 billion to $44.2 billion. The digital assets skyrocketed in popularity in 2021, and have been embraced by celebrities like Mark Cuban, Tom Brady, and Reese Witherspoon.