NFT Marketplaces: A Holistic Overview of the Blur NFT Ecosystem

NFTs (non-fungible tokens) have experienced a surge in popularity in recent years as a means of purchasing, selling, and owning digital assets.

According to the 2021 NFT Market Study conducted by Chainalysis, the market value of non-fungible tokens (NFTs) has exceeded $40 billion due to their increased popularity.

The Blur NFT Ecosystem stands out as a notable addition to the NFT space, offering users an intuitive platform for effortlessly buying, selling, and trading NFTs.

This zero-fee NFT marketplace was launched in October 2022 to cater to the needs of experienced traders. The platform offers a variety of features and benefits that make it appealing to both collectors and creators.

If you are new to NFTs, you may begin by searching online for different NFT marketplaces. However, it is essential to conduct thorough research to find a reliable platform for purchasing NFTs. For instance, many individuals who acquired NFTs through FTX were left in distress when the exchange unexpectedly declared bankruptcy.

This article extensively explores the Blur NFT ecosystem, including its features and why it has outperformed several competitors.

What is Blur?

Blur is an NFT marketplace and aggregator created with professional traders in mind. Unlike other top marketplaces, it introduces numerous new features to enhance the NFT trading process, making it simpler and more user-friendly.

Users can list their NFTs on Blur locally, and the platform also aggregates NFT listings from popular sites like X2Y2, LooksRare, and OpenSea. In contrast to other NFT marketplaces that charge commissions, Blur maintains its selling fees for NFTs at 0%.

The platform was initially introduced in March 2022, gaining traction on prominent social media platforms. Users were encouraged to refer their loved ones to join a waitlist. Blur was officially launched to the public on October 19 of the same year. Leading up to the launch, a select group of community members, including those with the most referrals, were granted access to beta test it.

Blur’s Unique Features

The Blur NFT marketplace shares the same fundamental features as other NFT marketplaces. However, the Blur platform sets itself apart by optimizing these features to provide the best user experience.

Here are some of the features that distinguish the Blur marketplace from other NFT platforms:

Fast Trading Speed

Blur updates the list of pending NFT transactions every four seconds and displays it in less than one second. Therefore, there is no need to manually refresh the transaction page. The instant display and near-real-time metadata updates benefit users looking to buy NFTs quickly.

Furthermore, Blur’s gas priority setting gives users a competitive edge, increasing the likelihood of outbidding competitors on other exchanges or aggregators when bidding for the same NFT.

User-Friendly Interface

Blur boasts a customizable user interface, allowing users to switch between list and block display modes while viewing their NFT collection, catering to individual preferences.

Unlike OpenSea, which requires users to switch tabs to access sales history and other metrics, Blur presents all relevant NFT collection data on a single page, simplifying navigation. Other built-in features include a gas fee tracker, light and dark modes, and information about ETH feeds.

Top-Notch NFT Tools

Blur simplifies the process of viewing NFT attributes and costs. This feature is particularly helpful for NFT enthusiasts seeking specific attributes when choosing their preferred NFT.

Unlike other NFT trading platforms, Blur doesn’t have a separate NFT product detail page. Instead, it offers a drop-down menu containing vital transaction information, such as the floor price, current price, number of holdings, current holder, and shelf time. Additionally, it provides information on the current floor price, latest sold price, and the percentage of each NFT with a specific attribute.

Team and Supporters

In March 2022, Blur secured $11 million in its seed round, led by Paradigm. It would be a mistake to undervalue Paradigm’s investment in Blur, given that it is one of the most successful crypto VC firms.

Several prominent figures in the NFT and cryptocurrency scenes also participated in the seed round, including anonymous collectors 6529, MoonOverlord, Cozomo de’ Medici, and Zeneca. Support from influential NFT figures like these underscores that Blur’s goals align closely with the NFT community as a whole.

However, it’s important to note that the entire Blur team currently maintains anonymity, choosing to operate online under pseudonyms rather than their real names.

While anonymity is not uncommon in the cryptocurrency industry, it does raise concerns about team accountability. An anonymous team may face challenges in terms of trust and potential risks of a team member acting against the project’s interests in the future.

Additionally, there is the possibility that a core team member may have a questionable history, as seen when Michael Patryn, a co-founder of QuadrigaCX, was identified as Wonderland’s 0xSifu. This underscores the importance of transparency and accountability within cryptocurrency projects.

Other Custom Features

Blur’s transaction pending time is under a second, with listing updates every four seconds.
Gas priority presets enable users to compete with other buyers on different exchanges or aggregators.
Optimized contracts in Blur can save users up to 17% on gas fees.
The platform displays NFT rarity and specific characteristics’ floor prices, automating the process of finding the lowest listings.
Users can evaluate assets or snipe NFTs with discounted qualities easily.
Blur provides tools for buying multiple NFTs from a collection at the lowest prices, known as “sweeping the floor,” with a floor depth chart for buyer guidance.
Currently, Blur’s features are exclusive to Ethereum-based NFTs, but the team plans to expand to other chains like Polygon in the future.

Tokenomics

The $BLUR token airdrop was recently finalized after the Season 1 of the incentive program. Customers received “Care Packages” as compensation for trading and supplying liquidity on the platform. The project began with a $400 million valuation, and some traders made up to $3 million in BLUR tokens.

Another set of Blur airdrops is planned for “Season 2.” The best way to earn $BLUR tokens in the upcoming airdrop is to buy, sell, and list NFTs on the platform.

Throughout a 4- to 5-year period, Blur will make 3 billion BLUR tokens available. 51% of the tokens will be given to the community, 29% will be given to present and past core contributors, 19% will be given to investors, and 1% will be given to advisors. NFT traders, those who have used Blur in the past, and developers can claim 12% of the total number of BLUR tokens.

The community treasury will distribute 39% of the BLUR supply through neighbourhood projects, contributor awards, and incentive programs, with 10% set aside for the upcoming incentive release. For each group of token receivers, the BLUR token vesting will occur continuously in line with a predetermined schedule.

How Did Blur Outperform OpenSea?

Blur shocked the NFT marketplace by becoming the leading NFT marketplace in terms of volume in less than two months into 2023.

According to Nansen.ai, on February 15, Blur surpassed OpenSea in terms of daily Ethereum trading volume. Over the past month, various data aggregators have also reported on Blur’s consistent growth.

Hildebert Moulié, a data scientist, created a Dune dashboard that revealed that Blur’s daily trading volume increased more than four times after the release of its native token, which further intensified the competition between the two NFT marketplaces.

Based on Nansen’s data, Blur’s marketplace had a trading volume of 6,602 ETH on February 15, while OpenSea’s trading volume stood at 5,649 ETH. Meanwhile, sealaunch. xyz’s Dune dashboard recorded higher daily trading volumes for both marketplaces, with Blur at 30,410 ETH and OpenSea at 7,232 ETH, indicating a greater disparity between the two platforms compared to Nansen’s data.

The goal of the Blur platform was to attract traders from NFT marketplaces with zero royalties by offering more substantial airdrops to traders who prioritize paying royalties instead of opting for platforms with no royalty fees.

Large airdrop campaigns are a great way to gain new customers, but they could compromise the quality of the final product. For instance, LooksRare was competing with OpenSea but was terrible at the product level.

Since keeping customers is just as important as getting new ones, Blur places more emphasis on liquidity than volume, which makes it easier for real customers to join the platform.

So, how was it possible for Blur to incentivize liquidity without risking manipulation?

Blur achieved this by incentivizing listings. However, with different levels of rarity in NFT collections, users are more likely to list things near the floor. Massive sales barriers will be created as a result, which may not be what NFT marketplaces are looking for.

This is where Blur has incentive-based bidding. Their bidding points system was created to give “pro-NFT traders” access to more liquidity than they would have on OpenSea, where they would typically use a pending order transaction approach.

Although the marketplace fees remain at 0%, the team is not solely focused on making profits for themselves. They understand that even with the support of Paradigm, revenue streams and liquidity will eventually become limited. Therefore, they have shifted their focus to improving the product experience.

Rather than relying on fees for income, the team is dedicated to enhancing the user experience to attract and retain customers. This shows the team’s dedication to creating a successful NFT marketplace.

In Conclusion

Despite the ongoing crypto winter, Blur serves as an example that there are still dedicated teams of developers who maintain optimism regarding the long-term potential of cryptocurrency technology.
Regarding Blur’s prospects, it remains to be seen whether it will ultimately outperform its competitors and establish itself as a leading cryptocurrency. Only time will tell whether it is a fleeting trend or possesses the potential to endure for the long term.

Disclaimer: This article is intended solely for informational purposes only and should not be considered trading or investment advice. Nothing herein should be construed as financial, legal, or tax advice. Trading or investing in cryptocurrencies carries a considerable risk of financial loss. Always conduct due diligence.

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