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Monthly NFT sales fell for fifth consecutive month to $495M in July on August 3, 2023 at 7:00 pm

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Welcome back to Chain Reaction.

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The NFT space isn’t doing too well right now. Although it seems like there’s a new project being launched every week, there’s less and less money being spent in the space.

In July, NFT sales totaled $495.6 million, down 23% from $646.1 million in June, according to data from NFT aggregator CryptoSlam. This marks the fifth consecutive month of NFT sales falling since February, when the sector saw sales hit $1.2 billion.

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July recorded the lowest level since April 2021, which saw sales at $339.4 million, a few months before the NFT boom began in July 2021.

Today’s decline could be attributed to a number of factors, like consumers buying NFTs for less — the average sale in July was just $47, meaning fewer people are interested in “blue-chip” NFTs. It’s worth noting that transaction levels have remained high in the past couple of months — June had about 10.8 million transactions and July had about 10.4 million, the highest levels since February 2022.

The decline in sales doesn’t necessarily mean NFTs are going bye-bye. Instead, it points to the growing prevalence of low-barrier NFT sales and the space becoming more accessible to general audiences, who may not want to spend a lot on NFTs right away.

In the past 30 days, the top three blockchains to sell the most NFTs were Ethereum at $293 million, Bitcoin at $56.2 million and Solana at $35 million, per CryptoSlam data. Only two NFTs –— a Bored Ape Yacht Club and a CryptoPunk — were sold for over $1 million during that time.

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Regardless of how you look at it, the decline in NFT sales means the players and builders in the sector have to look for new opportunities to grow again. It’s time to sink or swim.

This week in web3

Developers continue to dive into the crypto space as market remains lackluster
Curve Finance’s $62M exploit exposes larger issues for DeFi ecosystem
SEC sues Richard Heart and his projects Hex, PulseChain and PulseX for fraud, securities violations
Global web3 venture funding on pace to decline for seventh straight quarter
Kenya suspends Worldcoin scans over security, privacy and financial concerns
Sequoia Capital cuts crypto, ecosystem funds by over 50% as it continues to downsize
Worldcoin’s official launch triggers swift privacy scrutiny in Europe

The latest pod

For this week’s news episode, Jacquelyn sits down with Jesse Pollak, lead for Base and head of protocols at Coinbase. You might remember him from an interview we did with him back in April.

Coinbase, which is the second-largest crypto exchange by trading volume, launched Base, an Ethereum-focused layer-2 (L2) blockchain, in February. The platform was in testnet, which is a test phase of the blockchain network, until mid-July, when it launched its mainnet, the fully live version of a blockchain on the main network (hence the name: mainnet) to developers.

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Next week, Base is officially launching its mainnet to the public on August 9, alongside its “Onchain Summer” initiative.

We dive into what’s going on, why it matters, where Pollak sees Base going in the future and why he’s keeping an eye on the bigger layer-2 ecosystem.

Subscribe to Chain Reaction on Apple Podcasts, Spotify or your favorite pod platform to keep up with the latest episodes, and please leave us a review if you like what you hear!

Follow the money

Solv Protocol raised $6 million to expand its institutional DeFi platform
Blockchain solutions developer HashPort raised $8.5 million in its Series C
Futureverse launched $50 million venture fund and studio Born Ready

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This list was compiled with information from Messari as well as TechCrunch’s own reporting.

What else we’re reading

Want to branch out from the world of web3? Here are some articles on TechCrunch that caught our attention this week.

Not all early-stage AI startups are created equal
Uber is now a profitable, cash-generating machine
Elon Musk is probably right about one thing
Reed Jobs, son of Steve Jobs, takes the wraps off a $200 million venture fund that will back new cancer treatments
A comprehensive list of 2023 tech layoffs

Follow me on Twitter @Jacqmelinek for breaking crypto news, memes and more.

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​ Welcome back to Chain Reaction. The NFT space isn’t doing too well right now. It seems like there’s a new project being launched every week, but there’s less and less money being spent in the space. 

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Business

Pros and Cons of the Big Beautiful Bill

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The “Big Beautiful Bill” (officially the One Big Beautiful Bill Act) is a sweeping tax and spending package passed in July 2025. It makes permanent many Trump-era tax cuts, introduces new tax breaks for working Americans, and enacts deep cuts to federal safety-net programs. The bill also increases spending on border security and defense, while rolling back clean energy incentives and tightening requirements for social programs.

Pros

1. Tax Relief for Middle and Working-Class Families

2. Support for Small Businesses and Economic Growth

  • Makes the small business deduction permanent, supporting Main Street businesses.
  • Expands expensing for investment in short-lived assets and domestic R&D, which is considered pro-growth.

3. Increased Spending on Security and Infrastructure

4. Simplification and Fairness in the Tax Code

  • Expands the Earned Income Tax Credit (EITC) and raises marginal rates on individuals earning over $400,000.
  • Closes various deductions and loopholes, especially those benefiting private equity and multinational corporations.

Cons

1. Deep Cuts to Social Safety Net Programs

  • Cuts Medicaid by approximately $930 billion and imposes new work requirements, which could leave millions without health insurance.
  • Tightens eligibility and work requirements for SNAP (food assistance), potentially removing benefits from many low-income families.
  • Rolls back student loan forgiveness and repeals Biden-era subsidies.

2. Increases the Federal Deficit

  • The bill is projected to add $3.3–4 trillion to the federal deficit over 10 years.
  • Critics argue that the combination of tax cuts and increased spending is fiscally irresponsible.

3. Benefits Skewed Toward the Wealthy

  • The largest income gains go to affluent Americans, with top earners seeing significant after-tax increases.
  • Critics describe the bill as the largest upward transfer of wealth in recent U.S. history.

4. Rollback of Clean Energy and Climate Incentives

5. Potential Harm to Healthcare and Rural Hospitals

6. Public and Political Backlash

  • The bill is unpopular in public polls and is seen as a political risk for its supporters.
  • Critics warn it will widen the gap between rich and poor and reverse progress on alternative energy and healthcare.

Summary Table

ProsCons
Permanent middle-class tax cutsDeep Medicaid and SNAP cuts
No tax on tips/overtime for most workersMillions may lose health insurance
Doubled Child Tax CreditAdds $3.3–4T to deficit
Small business supportBenefits skewed to wealthy
Increased border/defense spendingClean energy incentives eliminated
Simplifies some tax provisionsThreatens rural hospitals
Public backlash, political risk

In summary:
The Big Beautiful Bill delivers significant tax relief and new benefits for many working and middle-class Americans, but it does so at the cost of deep cuts to social programs, a higher federal deficit, and reduced support for clean energy and healthcare. The bill is highly polarizing, with supporters touting its pro-growth and pro-family provisions, while critics warn of increased inequality and harm to vulnerable populations.

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Business

Trump Threatens to ‘Take a Look’ at Deporting Elon Musk Amid Explosive Feud

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The escalating conflict between President Donald Trump and Elon Musk reached a new peak this week, as Trump publicly suggested he would consider deporting the billionaire entrepreneur in response to Musk’s fierce criticism of the president’s signature tax and spending bill.

FILE PHOTO: Tesla CEO Elon Musk arrives on the red carpet for the automobile awards “Das Goldene Lenkrad” (The golden steering wheel) given by a German newspaper in Berlin, Germany, November 12, 2019. REUTERS/Hannibal Hanschke/File Photo

“I don’t know, we’ll have to take a look,” Trump told reporters on Tuesday when asked directly if he would deport Musk, who was born in South Africa but has been a U.S. citizen since 2002.

This threat followed a late-night post on Trump’s Truth Social platform, where he accused Musk of being the largest recipient of government subsidies in U.S. history. Trump claimed that without these supports, Musk “would likely have to shut down operations and return to South Africa,” and that ending such subsidies would mean “no more rocket launches, satellites, or electric vehicle production, and our nation would save a FORTUNE”.

Trump also invoked the Department of Government Efficiency (DOGE)—a federal agency Musk previously led—as a potential tool to scrutinize Musk’s companies. “We might have to put DOGE on Elon. You know what DOGE is? The DOGE is the monster that might have to go back and eat Elon,” Trump remarked, further intensifying the feud.

Background to the Feud

The rupture comes after Musk’s repeated attacks on Trump’s so-called “Big, Beautiful Bill,” a comprehensive spending and tax reform proposal that Musk has labeled a “disgusting abomination” and a threat to the nation’s fiscal health. Musk, once a Trump ally who contributed heavily to his election campaign and served as a government advisor, has called for the formation of a new political party, claiming the bill exposes the need for an alternative to the current two-party system.

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In response, Trump’s allies have amplified questions about Musk’s citizenship and immigration history, with some suggesting an investigation into his naturalization process. However, legal experts note that deporting a naturalized U.S. citizen like Musk would be extremely difficult. The only path would involve denaturalization—a rare and complex legal process requiring proof of intentional fraud during the citizenship application, a standard typically reserved for the most egregious cases.

Political Fallout

Musk’s criticism has rattled some Republican lawmakers, who fear the feud could undermine their party’s unity ahead of the 2026 midterm elections. Meanwhile, Musk has doubled down on his opposition, warning he will support primary challengers against Republicans who back Trump’s bill.

Key Points:

As the dispute continues, it has become a flashpoint in the broader debate over government spending, corporate subsidies, and political loyalty at the highest levels of American power.

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Christianity Emerges as Fastest-Growing Religion in Iran Despite Crackdowns

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Christianity is experiencing unprecedented growth in Iran, making it the fastest-growing religion in the country despite severe government crackdowns and the risk of harsh penalties for converts. Recent studies and reports from both religious organizations and independent researchers confirm that the number of Christians in Iran has surged over the past decade, with estimates now ranging from 800,000 to as many as 3 million believers, many of whom are converts from Islam.

This remarkable trend is unfolding against a backdrop of systematic persecution. Iranian authorities routinely target house churches, arresting and imprisoning Christians for activities deemed a threat to national security or as “propaganda against the regime.” In 2022 alone, at least 134 Christians were arrested, with dozens receiving prison sentences or being forced into exile. Conversion from Islam remains a criminal offense in Iran, punishable by severe penalties, including, in rare cases, the death penalty.

Despite these dangers, the church in Iran is flourishing underground. The growth is especially notable among young people, many of whom are disillusioned with the country’s strict Islamic rule and are seeking spiritual alternatives that emphasize personal faith and community. Secret house churches and underground networks have become the primary venues for worship and community, with large-scale baptisms sometimes taking place in secret or even across the border.

The Iranian government has acknowledged the trend with concern. Officials have dispatched agents to counter the spread of Christianity, and Islamic clerics have issued warnings about the faith’s rapid expansion. Nevertheless, satellite TV broadcasts, digital outreach, and word-of-mouth continue to fuel the movement, bringing the Christian message to new audiences across the country.

Scholars and observers agree that Iran is witnessing one of the highest rates of Christianization in the world today. Forecasts suggest the Christian population could double again by 2050, even as persecution persists. For many Iranians, Christianity offers a message of hope and transformation that stands in stark contrast to the repressive environment they face, making its spread all the more remarkable in one of the world’s most closed societies.

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