Case in point: OpenSea's monthly volume:
https://dune.com/rchen8/opensea
There's no hiding on the blockchain. Monthly volume has gone down from a peak of nearly $5B in January to $372M in June so far.
There's no hiding on the blockchain. Monthly volume has gone down from a peak of nearly $5B in January to $372M in June so far.
But prior to June, they had been doing ~$200M in "fees" monthly -- fairly consistently, for almost a year. That's more of a "business" (and more stable) than I would have guessed.
Otherwise they wouldn't trade.
Opensea takes a % fee, and the seller takes a % fee. Can you prove it's also including gas fees?
On average, you should assume that OpenSea takes around 30-40% from this 200M fees.
* we're just at the middle of the month
* the price has dropped 4x, those charts are in USD
Your point still stands.
Meanwhile, your revenue is in ETH.
Even if you can maintain the same volume, your revenue can drop drastically if ETH price drops.
A 100 ETH sale earns you 2.5 ETH. In January, this was worth $7.5k. Now, its worth $3k. Your revenue dropped by over 50% but your expenses are going to stay the same.
I can't see how the economics of businesses like this can work out.
nobody (sane at least) would mix expenses and long term, high volatility investment as crypto. I own some crypto and I don't care today's price, it's a 10y investment.