Eden Garden argues that the plaintiffs’ losses are a result of broader market forces rather than any wrongdoing on its part. Meanwhile, Reddit’s Collectible Avatars NFT program also faces uncertainty after the departure of its head, Bianca Wyler. Despite these controversies, NFTs ended 2024 with $8.83 billion in sales, slightly surpassing 2023. Additionally, South Korea’s Jeju Island recently announced plans to launch NFT tourist cards in 2025 to attract younger visitors.
Eden Gallery Defends Against NFT Lawsuit
The Eden Gallery Group filed a motion in a New York federal court seeking the dismissal of a class-action lawsuit that was brought by a group of 36 non-fungible token (NFT) holders. The lawsuit was initiated in October, and accuses the gallery and artist Gal Yosef of fraud, unjust enrichment, and violations of New York’s General Business Law related to the “Meta Eagle Club” NFT collection.
The plaintiffs claim the project, which sold 12,000 unique humanlike eagle NFTs and generated $13 million between February of 2022 and November of 2023, was a “rug pull.” They also allege certain misrepresentations were made that led them to overpay for the digital assets.
In its motion to dismiss, Eden Gallery argued that the claims are completely baseless, and attributed any losses that were experienced by the plaintiffs to the overall decline of the NFT market rather than fraudulent activity. The gallery also placed a lot of emphasis on the fact that NFTs, including those from the Meta Eagle Club collection, were launched during a period of heightened market popularity in early 2022, but the broader market has since seen a big downturn. It also argued that the NFTs were marketed as digital art products, not investment vehicles, and dismissed the plaintiffs’ losses as a result of broader market forces rather than any wrongdoing on its part.
The motion further stated that the plaintiffs’ individual claims for damages, ranging from $1,224 to $70,219, do not meet the jurisdictional threshold of $75,000 that is required for federal court, and aggregation of claims is not allowed. The floor price for a Meta Eagle Club NFT plummeted to 0.0051 ETH, or approximately $17, a huge decline from its launch price of 0.6 ETH, or around $1,800, in February of 2022.
Meta Eagle Club floor price (Source: OpenSea)
Future of Reddit NFTs Uncertain
The future of Reddit’s Collectible Avatars NFT program also came under scrutiny after the departure of its head, Bianca Wyler. In a LinkedIn post on Jan. 6, Wyler confirmed her exit from Reddit, and stated that she was proud of her work with the program while acknowledging her sadness about the transition. Her departure caused some concerns among Reddit users due to the fact that some recent comments were deleted from her Reddit account, while others worry that her departure means the discontinuation for the NFTs.
Part of Bianca Wyler’s exit post (Source: LinedIn)
Reddit Collectible Avatars were launched in July of 2022, and are unique NFTs hosted on the Polygon blockchain, often depicting the platform’s alien mascot. Users can integrate these avatars into their profiles and access perks like “special comment treatment.” They were billed as limited-edition artworks created in collaboration with independent artists, and the program boasts more than 33.5 million holders, according to Dune Analytics data.
Despite its initial success, sales of the avatars struggled to maintain momentum, with secondary monthly sales volumes hovering around $100,000 in the final months of 2024. Trading activity also declined quite a bit from its 2022 peak.
Wyler, who joined Reddit in June of 2024, pointed out that the program already came down from its earlier bull run and required a thoughtful strategy to revitalize it. Within three months of her tenure, she reported optimizing the program by improving community sentiment, and achieving increases in sales and creations.
Wyler described her departure as part of the “natural shifts” that are often seen in companies like Reddit, X, and Meta as they adapt to emerging technologies and shifting priorities. While she is still uncertain about the current trajectory of the Collectible Avatars program, she is confident that Reddit will continue to prioritize its community.
NFTs End 2024 with a Bang
Despite the controversy surrounding certain projects, NFTs still ended 2024 on a high note by surpassing their 2023 sales by over $100 million. According to data from CryptoSlam, NFT sales reached $8.83 billion in 2024, which was a 1.1% increase compared to the $8.7 billion that was recorded in 2023.
Ethereum and Bitcoin were neck and neck in sales volumes, and each contributed $3.1 billion to the total, while Solana followed in third place with $1.4 billion. Ethereum held its position as the leading blockchain for NFTs in all-time sales by amassing $43.3 billion, trailed by Solana with $6.1 billion and Bitcoin-based NFTs with $4.9 billion.
Top 5 blockchains by all-time NFT sales (Source: CryptoSlam)
Despite the year-on-year growth, 2024 sales volumes were still much lower than the sector’s peaks in 2021 and 2022. In 2021, NFTs reached $15.7 billion in annual sales, which is 43.9% higher than 2024’s record, while 2022 saw $23.7 billion in sales.
Animoca Brands chairman Yat Siu is still optimistic, and suggested that NFTs could one day surpass those levels as the broader crypto market expands. Siu also predicted that NFT trading volumes could potentially reach billions of dollars monthly in a thriving crypto ecosystem.
The latter part of 2024 saw an unexpected resurgence in NFT sales after a challenging seven-month downturn. Sales began to recover in October, which recorded $353 million in volume, an 18% increase from September’s low. The momentum accelerated in November with $562 million in sales, which was a six-month high. December capped the year with $877 million in sales, making it the fifth-highest performing month of 2024. Ethereum-based collections drove most of the December recovery by contributing $482 million to the month’s total.
Top 5 NFT collections in December 2024 (Source: CryptoSlam)
Among the top-performing NFT collections, Pudgy Penguins led with $115 million in sales for December. Other popular collections, including Azuki, LilPudgys, CryptoPunks, Doodles, and Bored Ape Yacht Club, collectively generated $141 million in sales. Bitcoin-based NFTs contributed $172 million in December, while Solana-based collections added $100 million.
Jeju Island to Launch NFT Tourist Cards in 2025
Jeju Island, South Korea’s largest tourist destination, plans to launch NFT tourist cards in the second half of 2025 to attract younger visitors. According to local reports, the main goal of the initiative is to appeal to millennials and Generation Z by offering digital tourism cards linked to NFTs that come with perks like travel subsidies and discounts at tourist spots. A trial phase will precede the full rollout.
Jeju is very well known for its hiking trails and resorts, and has a history of embracing blockchain technology. It even introduced a blockchain-based COVID-19 contact tracing app in 2021. In March of 2024, local officials discussed how blockchain and NFTs could boost the island’s economy, including their potential applications in tourism and the fishing industry.
Jeju Island
The initiative was announced amid a resurgence of crypto interest in South Korea, with 610,000 new users joining the market in November of 2024, bringing the total to 15.6 million — about 30% of the population. Jeju hopes its NFT tourist cards will encourage younger generations to visit and return to the island.
