Analyzing Solana NFTs as daily mints crash to new lows

• The month has seen a decline in daily NFT mints on Solana.
• This is attributable to the fall in the network’s user activity since the year began.

The daily count of NFT mints on Solana [SOL] has plummeted to its lowest level since the year began, data from Hello Moon showed. 

As of 8th January, 19,000 NFTs were minted on the Layer 1 (L1) blockchain network, marking a 44% decline from the 34,370 NFTs minted on 31st December 2023.

Source: Hello Moon

Due to the ecosystem-wide rally that Solana experienced in December 2023, the number of NFTs minted on the network daily climbed to an all-time high of 414,080 on 15th December.

Also, during the 31-day period, NFT sales volume on Solana totaled $366 million, marking the highest monthly sales volume recorded in 2023.

However, with a decline in the hype around the chain, NFT sales count and trading volume have suffered a drawback.  According to data from CryptoSlam, this year’s NFT sales volume on Solana is $79.34 million. 

Solana sees decline in user activity

Following December’s network-wide growth, the past two weeks have been marked by a decline in demand for the Solana network. On-chain data from Artemis showed a decrease in user activity on the blockchain.

For example, the number of unique wallet addresses sending at least one on-chain transaction daily on Solana has fallen by 9% since 5th January. For context, on that day, Solana’s daily active address count was 691,000. By 11th January, it had dropped to 627,000.

Source: Artemis

Due to a fall in the number of active users on the chain, the daily transaction count has experienced a dip as well. Between 5th and 11th January, this declined by 7%, according to data from Artemis. 

Impacted by the fall in user count, the volume of transactions completed through decentralized exchanges (DEXes) housed within Solana has also dwindled. During the period under review, this fell by 40%. 

Source: Artemis

How much are 1,10,100 SOLs worth today?

Additionally, the network’s DeFi total value locked (TVL) has trended downward since the year began.

According to data from DefiLlama, Solana’s TVL was $1.41 billion on 1st January. At $1.29 billion as of this writing, the L1’s TVL has since decreased by 9%.