NFTs are still a thing in the market in 2025. They have just changed the focus towards more practical areas. People use them for in-game assets, digital collectibles, event tickets, luxury product verification, and even property records.
The market is smaller compared to the peak years, but more stable. However, you can still create and earn from NFTs today, though success requires more focus on real use cases than speculation.
In this article, we will look at the current state of NFTs, why the early hype slowed, where NFTs are still active, and if there is a future for them.
The Current State Of NFTs In 2025?
The hype peaked in 2021 when digital art sold for millions and celebrities promoted collections. Now the market has cooled, with most collections losing value.
The NFT market has experienced a significant decline from its peak. As per the Yahoo Finance news, approximately 96% of NFT collections are now considered ‘dead’ with no trading activity or community engagement.
However, major marketplaces like OpenSea continue to operate but in lower volumes. The people on the Reddit forum of NFTs have mixed opinions.
Some users say ‘meme NFTs are slowly fading away,‘ while others point to gaming applications, where ‘people want assets that actually have ownership.’
There is a positive side too, where users mentioned that ‘NFTs didn’t sleep, they went to sleep’, which means the hype decreased, not that the NFT went down. Users also included that NFT focus has shifted toward real use cases like gaming, music, and memberships.
Based on the forums and news, we can say that NFT is neither dead nor growing rapidly like it was in 2021.
What Happened To NFTs? The Rise And Fall Analysis
Previously, we looked at the mixed reviews of the users; however, here we are now going to review some of the factors that contributed to the NFT crash or slowdown:
- Market oversaturation: Thousands of low-quality projects flooded the market, making it impossible for buyers to find genuine value among countless copycat collections.
- No real utility: Most NFTs provided little to no utility, meaning buyers ended up with an image that was essentially worthless in terms of ongoing value or access.
- Regulatory uncertainty: The government’s attention to NFTs raised issues regarding taxation, securities laws, and property rights, which created uncertainty in institutions willing to participate fully.
- Scams and rug pulls: There were numerous projects where individuals took investor money and disappeared with it. This created general distrust and a terrible reputation amongst the entire community.
- Social media Constant Pop-up: The continuous promotion of NFTs on Twitter and Discord created a negative backlash, where these communities turned off entire groups or sections of the NFTs completely.
- Advancement of AI technology: AI programs have made creating digital art much easier and less expensive. This has hurt the value of rare digital pieces, but it has also opened the door for many more individuals to create digital art.
Based on BitcoinTalk forum discussions, users view NFTs as part of normal market cycles, where hype projects come and go, similar to previous trends such as ICOs and DeFi.
However, some see potential for utility-focused digital art and practical applications. Few find that, as social media promotion has stopped, creating NFTs has become too easy, but the market is flooded with worthless projects.
However, some acknowledge that established marketplaces still generate revenue from remaining trading activity.
You might know that the hype around NFTs reached extreme levels during 2021-2022, when celebrities, influencers, and major brands entered the space. Elon Musk, Donald Trump, Snoop Dogg, Floyd Mayweather, and many others produced and sold their NFTs in millions.
Are People Still Buying NFTs?
People do buy NFTs today, but things have changed a lot. Buyers now look for NFTs that actually do something useful rather than just hoping to get rich quickly.
Gaming NFTs work well because they give players real benefits like special characters or access to exclusive games. Old, popular collections like CryptoPunks and Bored Apes still attract buyers who view them as cool digital trophies.
Membership tokens also sell because they give owners special perks from their favorite communities. On the Reddit forum, people buying now know more about what they want and pick more carefully.
Where NFTs Still Hold Value In 2025?
Specific sectors and use cases where NFTs remain relevant and valuable.
- Gaming and Digital Assets: Players use NFTs to own unique characters, weapons, and items that work across different games and platforms.
- Digital Identity and Access Control: Organizations issue membership tokens and event tickets as NFTs to verify authentic participation and prevent risks.
- Real-World Asset Tokenization: Companies create NFT representations of physical collectibles and enable fractional ownership of expensive items like art pieces.
- Brand Loyalty Programs: Major corporations, such as Starbucks and Nike, utilize NFTs for customer rewards, exclusive access, and limited-edition digital merchandise.
- Professional Credentials: Educational institutions and certification bodies explore NFTs for storing and verifying degrees, licenses, and professional qualifications digitally.
- Music and Entertainment Rights: Artists use NFTs to sell music rights, concert access, and exclusive content directly to fans without traditional intermediaries.
Are NFTs Making a Comeback?
The market shows signs of stability rather than explosive growth. New project types focus on practical applications instead of pure collectibles.
Integration with emerging technologies, such as AI, virtual reality, and metaverse platforms, creates new opportunities for NFT utility. However, big companies and investors still stay cautious because of unclear rules and past market crashes.
Some marketplaces, like X2Y2, shut down after losing 90% of their trading volume, which indicates that weaker players are leaving.
Should You Invest In NFTs In 2025?
NFT investing remains highly uncertain with significant risks. You can invest in NFT, but consider the following research you should do beforehand;
- Research thoroughly before buying any NFT or related tokens.
- Prioritize utility over speculation when evaluating potential NFT purchases.
- Consider traditional investments before allocating money to experimental NFT projects.
- Only invest amounts you can afford to lose.
- Diversify across multiple asset classes rather than concentrating in NFTs.
- Beware of fraudulent projects and always verify authenticity before purchasing.
Future of NFTs: Are They Growing Or Fading?
NFTs are moving beyond simple art collections into practical uses. The technology may expand into gaming, real estate, and identity verification.
New blockchain improvements could make NFTs more accessible and affordable to use. However, many challenges still exist around security and public trust in these digital tokens.
Here are the opinions from cryptocurrency forum discussions on Reddit:
- Some users see potential for tickets, ID cards, and supply chain tracking.
- Others believe regular databases work better for most uses.
- Security concerns about wallet hacking remain a major worry.
- Real-world examples, such as the GET protocol, show over 5 million tickets sold.
Most experts believe NFTs will grow in specific areas where blockchain verification provides genuine value, but widespread adoption by users now remains uncertain.
Conclusion: NFTs Are Evolving Again, But The Hype Is Less Now
NFTs in 2025 are not dead, but they have shifted direction. They now focus more on use, such as gaming, tickets, and memberships, instead of just art pictures.
Success in the current environment demands focus on practical utility rather than speculative trading. For those considering involvement with NFTs, approach with caution and realistic expectations.
The future likely belongs to projects that solve real problems rather than chase quick profits. Start exploring legitimate NFT applications in areas that interest you personally.
FAQs
Some NFTs retain value, particularly established collections and those offering genuine utility, but most have lost significant worth since peak prices.
The average NFT lifespan is approximately 1.14 years. However, the value depends on community activity, ongoing support, and actual use in apps or games.
Gaming NFTs, utility tokens, and access passes generate the most consistent sales as buyers prioritize functional benefits over pure speculation.
Weak projects, scams, a lack of real utility, falling crypto markets, and trend fatigue all reduced demand, leaving many buyers without interest or trust.
NFTs show promise in gaming, digital identity, ticketing, and asset tokenization, where blockchain verification provides meaningful benefits to users.
Major collections, such as CryptoPunks and Bored Apes, maintain some value among collectors, although prices are slightly below their historical peaks.
According to a research report, the NFT market is expected to reach 11.67 million users by 2026. Revenue could hit US$504.3 million in 2025, then fall slightly to US$479.1 million by 2026 due to slower growth.
