Hyperspace shuts down NFT marketplace on Solana

Hyperspace, the multi-chain, non-fungible token marketplace and launch platform, is shutting down its platform on Solana.

The project announced this on September 3, stating that the decision to close the NFT marketplace on Solana (SOL) was a difficult one. Hyperspace plans to completely end the Solana offering by September 17, 2024, and recommended users list their NFTs before that date.

In addition to removing website support for Solana NFTs, the platform will also be discontinuing its API. This will begin on September 17, as the Hyperspace team announced on X.

“While this was a difficult decision, we are proud to have been a part of this vibrant ecosystem since the Solana summer first began and are excited for what is to come.”

Hyperspace Avalanche and Sui NFT marketplaces

Hyperspace launched in 2021, entering the market just as the NFT boom was following the Covid pandemic. The platform has attracted the backing of some of the biggest crypto venture capital firms in the industry, including Dragonfly, Pantera, and Coinbase Ventures.

Despite the slowdown in NFTs in late 2021 and 2022, Hyperspace has grown rapidly. Apart from Solana, the NFT market is also closing in on Sui (SUI).

Are NFTs dead?

In the broader digital collectibles market, projects like CryptoPunks, Bored Ape Yacht Club, Pudgy Penguins, and Art Blocks continue to be the top NFTs in terms of sales and volume.

However, the NFT market has failed to make a meaningful recovery since the overall cryptocurrency market decline during the 2022 bear market.

According to a recent report, around 96% of NFT projects are dead and 43% of owners are currently at a loss. Amid this crash, volume declines have affected NFT marketplaces and aggregators, including market leaders OpenSea, Magic Eden, LooksRare, and Blur.

Bear market aside, regulatory issues are also likely a big factor. Most recently, the U.S. Securities and Exchange Commission sent a Wells Notice to OpenSea over allegations of offering unregistered securities.