- May 10, 2023
- Posted by: [email protected]
- Category:
The rise of non-fungible tokens (NFTs) has brought about a new era of digital ownership and investment. However, as the NFT market continues to grow, it has also become a haven for fraudsters, with over half of the NFT activity on the Ethereum blockchain being fraudulent in 2022. To combat this issue, advanced market intelligence and analytics are required to assess the true value of NFTs and prevent users from investing in fake content.
One of the major issues with NFTs is that it is difficult to distinguish between real and fake tokens, which can result in significant financial losses for buyers. Moreover, the impact of fake tokens can have economic, legal, and reputational consequences that can lead to a drop in demand for NFTs. To address this issue, bitsCrunch has launched an AI-powered tool that checks major blockchains and marketplaces for potential copycat or forged NFTs.
By analyzing over 800,000 assets on the top NFT marketplace OpenSea against the top 40 NFT collections on the Ethereum blockchain, bitsCrunch found that there were 144 copycat NFTs that were exact visual matches to the Bored Ape Yacht Club (BAYC) collection, with an additional 231 NFTs being flagged as near-exact matches. The AI-powered analytics also detected tens of exact copies in other trending collections like Azuki, Otherdeed, and CloneX.
To help buyers and sellers determine the fair price of an NFT, bitsCrunch has also launched the NFT Price Estimation tool. Using the analyzed historical data and metadata for an NFT, combined with the social media hype around the collection, the tool can provide more accurate price estimates.
In addition to these tools, bitsCrunch also offers in-depth analysis, research, and statistics about the NFT ecosystem through its platform, UnleashNFTs. The platform aims to provide users with reliable insights into the market to help them make better buying and selling decisions.
To bring more awareness and data transparency to the NFT ecosystem, bitsCrunch has also launched its start-up program, which offers companies working with NFTs quick access to its tools for analyzing and managing risk via API. By providing users with AI-powered analytics, NFT creators, traders, and businesses can detect and avoid malicious activities while making transactions, thus expanding the NFT ecosystem in a healthier direction.
The NFT market has the ability to usher in a new era of digital ownership and investment, but in order to fully achieve this potential, tools like those provided by bitsCrunch are required to combat issues such as wash trading and forgery, which have plagued the industry in recent years.
