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NFT Winter? Blur TVL drops below $100 million, KOL: We screwed up

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NFT Winter? Blur TVL drops below $100 million, KOL: We screwed up

The NFT trading platform Blur has seen a rapid decline in its TVL and token price over the past year, both falling back to the lows of February. A KOL pointed out that Blur's mechanism of boosting trading volume through point farming is not healthy, with most users being airdrop farmers. If the buyers continue to dwindle, it will lead to a more serious situation.

Blur TVL, Blur Bids TVL, $Blur Continues to Decline

According to data from DeFiLlama, the total value locked (TVL) in Blur has dropped below $100 million to $86.92 million last night, hitting its lowest point since February 17th, a 50.4% decrease from the high of $174 million on June 26th.

Blur Loses Half of TVL in Two Months

It is evident that the token reached a high of $1.20 within a week after its initial airdrop, then dropped steadily to the current $0.22. Similar to its token price, the trading volume has also declined sharply and remained bleak over the past three months.

Blur Bids TVL Also Declines

Blur Bids TVL has also fallen to 39,400 ETH, the lowest point since the token's launch, a decrease of over 57.3% from the peak of 92,200 ETH on March 8th.

KOL Mourns Current NFT Market Situation

NFT influencer wale.swoosh tweeted early yesterday morning mourning the current downturn in the NFT market and mentioned thoughts on Blur in the replies.

"It's June. Azuki's floor price is 16 ETH, next week is the event in Las Vegas, everyone's talking about BAYC. DeGods Season III is set to launch this month, and everyone's excited. If the lowest price goes below 10 ETH, it's an instant buy. Heard Captainz will announce token news this month, bringing massive wealth to holders and igniting the whole space."

Wake up, it's August, we messed up.

Currently, Azuki's floor price is 3.54 ETH, and DeGods is at 3.92 ETH.

After shattering the dreams of all NFT players, wale.swoosh also expressed concerns about Blur's current situation:

Blur did put in effort into the NFT market, but the issue is that 99% of users are farmers. Once they choose to stop loss in this downtrend or wait for Blur to announce the end of Season 2, the game is truly over. In my view, things will only get worse.

Max Airdrop Farmer Exits in Time

Previously, Blur's largest airdrop farmer announced an exit after the new feature related to bidding characteristics in Blur V2 was launched, resulting in a significant loss of liquidity. He reportedly held 10% of Blur TVL and 8% of airdrop points.

It is speculated that he was unwilling to bear the losses from point farming and the potential downturn in the overall NFT market, including the Azuki incident and subsequent DeGods event. It seems he made the right decision now.