United States tech funding agency Coatue Administration has marked down the worth of its stake in non-fungible token (NFT) platform OpenSea by 90%.
On Nov. 7, The Data reported on a doc it reviewed exhibiting Coatue lowered its funding from $120 million to $13 million — implying that OpenSea has fallen to an on-paper valuation of $1.4 billion.
Coatue additionally marked down its funding in Web3 fee supplier MoonPay by 90%.
In January 2022, OpenSea raised $300 million in a Sequence C spherical led by crypto enterprise capital agency Paradigm and Coatue. The outsized funding noticed the NFT platform valued at $13.3 billion.
Following a cussed bear market and a year-long stoop in NFT buying and selling exercise, OpenSea announced a 50% discount in employees in Nov. 3 as a part of its plan to relaunch as OpenSea 2.0.
OpenSea is making some huge adjustments at present to concentrate on the subsequent model of our product.
— Devin Finzer (dfinzer.eth) (@dfinzer) November 3, 2023
OpenSea CEO Devin Fizner stated the brand new model of the platform will concentrate on upgrading its know-how in addition to growing its pace and high quality. To Fizner, a smaller crew will enable for the platform to stay “nimble and attentive.”
In August, OpenSea confronted criticism after it introduced it was retiring its operator filter, a characteristic that allowed creators to blacklist non-royalties imposing marketplaces.
Coatue’s markdown comes amid a stoop in NFT buying and selling volumes. The sector peaked in 2021, recording over $14 billion in gross sales through the 12 months. Since then, NFT recognition has been on the decline with total buying and selling volumes dropping by 80% since March 2022.
A Nov. 3 report from crypto knowledge agency DappRadar found the NFT market recorded its first month of positive factors in over a 12 months, notching a $99 million enhance month-over-month in October.
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