Formfunction Waves Goodbye

In what feels like a plot twist nobody saw coming, Formfunction, the Solana-based NFT marketplace, has announced that it will be closing its digital doors on March 29. After just 13 months of operation, it seems the NFT fairy tale has come to an end. On March 15, the team confirmed they’d decided to ‘shut down’ after much deliberation.

The Reasons Behind the Curtain

While Formfunction was tight-lipped about specific reasons for their closure, we can speculate. The NFT market has been wobbling around like a drunk toddler during a family barbecue. Prices and trading volumes for Solana NFTs fell sharply, making it a tough gig for any marketplace. When you get more tumbleweeds than buyers, it’s time to re-evaluate your life choices.

From Hopes to Hibernation

Launched on February 3, 2022, Formfunction initially raised a cool $4.7 million in a seed round led by various VC firms. They raked in around $5 million in sales during a bear market, which is somewhat respectable until you realize their numbers are about to dwindle even further. Cryptosphere navigator, Magellan, hinted that the team would be shifting gears altogether – likely outside the crypto realm. Picture a group of crypto hipsters trading in their laptops for beach umbrellas and iced coffee.

An NFT Market Downturn

If you thought Formfunction’s closure was isolated, hold on to your minting hats! The entire Solana NFT landscape has been taking hits like a piñata at a kid’s birthday party. Data shows that the NFT market has seen a staggering 75% price drop in blue-chip assets since early February 2022, and daily unique buyers visiting Solana have halved.

• The numbers aren’t pretty:
• From 13,000 buyers a day in 2022 to just 7,000 now.
• Sales volumes are down to under $4 million, a far cry from the bustling numbers seen previously.

What Lies Ahead?

The cryptocurrency environment can be more volatile than my great-uncle after Thanksgiving dinner. Solana’s SOL token plummeted over 80% from its initial $100 price, landing around $19 today. As we all know, the crypto realm is packed with ups and downs, and many NFT collections have sought refuge on other blockchains. Well, at least the Formfunction team can now focus on what really matters: life beyond the blockchain. Who knows? Maybe a tropical fruit farm awaits!