NFT Market Decline Leads To Dapper Labs Laying Off 22% Of The Staff
04 November 2022 - 5:24AM
NEWSBTC
Crypto Firms such as Dapper Labs are currently feeling the heat of
these markets’ downturn. As per a report, Dapper Labs has lost more
than 90% of its NBA Top Shot sales volume dating from February 2021
till now. It appears that the drop in the prices of digital
currencies is not the only aspect investors should be concerned
about. This is particularly true considering the look of the NFT
market recently. The sales volume of the company’s NBA Top Shot as
of February last year was about $224 million, now at $2.6 million.
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Reaches 5,000 BTC Dapper Labs Briefing The primary objective of
Dapper Labs is to provide collectible and tradable basketball
highlights using non-fungible tokens. The company carries out its
mission through a platform known as NBA Top Shot. The highlights
the company offers already have a license from the NBA, bringing
them royalties for every transaction. Some of its notable investors
are the renowned basketball legends Kevin Durant and Michael
Jordan. For a better user experience on the platform, the company
created its NFT blockchain – Flow. Before now, it depended on the
Ethereum network for sales on the platform. But that changed after
it created a pet game in 2017 called CryptoKitties. Crypto Winter
Pushes Dapper Labs To Lay-Off Staff Capacity By 22% Meanwhile, the
ongoing NFT market trend seems to be affecting Web3 companies
negatively, and Dapper Labs is no exception. The company has
decided to drop its staff count. The company revealed this
information on November 2, stating that it would reduce its staff
capacity by 22%. According to the firm, the decision is a pretty
tough one. However, it stated that the action is quite necessary
for the long-term success of its community and business.
Gharegozlou expressed his thoughts about why the company is not
nimble, community-driven, and aligned as much as necessary. He
cited the reason that the growth of the company was too rapid.
According to Gharegozlou, there’s a need to refocus the
organization. He added that such an action would help the company
to reach every goal, like being community-driven, web3-native, and
mobile-first. Decline In Dapper Labs’ Market Data In the meantime,
several investors are not showing high interest in NFTs. This fact
has brought down the market interest in the company, according to
on-chain data. A report on the sales volume of NBA Top Shot cites
that there has been a rapid drop from $40.8 million held around
this period in 2021. The current sales volume of the platform is
now down to $2.6 million. As of February 2021, the marketplace
realized about $224 million worth of non-fungible-tokens. The huge
gain was recorded during the NFT mania with about 1.2 million
transactions and 80,822 buyers. featured Image from Pixabay and
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