Bid to Earn: How NFT Players Profit from Make Offer?
From the analysis, we can see that most of the normal bids are related to blue-chip NFTs, and at the same time, top bidders on OpenSea have made profits.Author: NFTGo
Some NFT players use the Make Offer feature to purchase NFTs—paying whatever they think the NFT is worth. Since the end of June, the number of bids using WETH has grown exponentially, and it was at this time that OpenSea introduced the collective bidding feature for collectibles.
Using WETH on OpenSea allows you to bid on multiple NFTs at the same time, saving not only time but also costs to some extent.
Previously, bidding on the LooksRare marketplace accounted for over 70% of the daily total transaction volume (or there may be Wash Trading factors). Now, most of the transaction volume comes from OpenSea.
WETH Trading Volume on Different Platforms
In terms of WETH trading volume, LooksRare accounts for more than 80% compared to other trading markets. At the beginning of 2022, this figure once grew to over 200,000 WETH. However, this trend quickly declined, and the current total amount of WETH is very low.
From the standardized WETH transaction volume chart, both X2Y2 and OpenSea are on an upward trend, while the large amount of fake trading on LooksRare makes this market unsustainable.
Which NFTs Have the Highest WETH Trading Volume?
The above image shows the top 10 NFT series with the highest WETH trading volume on OpenSea. Among these series, 9 out of 10 are blue-chip NFTs, and most bidders on OpenSea focus on high-volume blue-chip collectibles.
According to NFTGo.io, the top-ranked Terraforms series traded on LooksRare is marked as suspicious and may involve wash trading. Compared to OpenSea, LooksRare has many instances of fake buying and selling.
Which Addresses Are the Top Bidders?
Among the top 20 bidders on OpenSea, only two tend to buy NFTs directly on the secondary market, while the other 18 traders focus more on bidding, with some even bidding over 800 times.
In terms of sales volume and profit, only 1 out of the 20 bidders is at a loss, while the others are profitable, including some bidders who have not made any sales. We categorize them into collectors and flippers, where flippers represent those who have profits and sales activities, and collectors refer to those who only place bids but do not sell.
The statistics in the sales and profit chart on LooksRare seem to make no sense. 19 out of the 20 bidders on LooksRare are in a loss state, yet their sales volume is incredibly high. These bidders are selling their NFTs at a loss, possibly just to earn rewards from LooksRare. The severity of wash trading on LooksRare can be observed.
How to Operate?
To bid on an NFT, you first need to use WETH. After wrapping ETH into WETH, go to the NFT page you want and click the "Make Offer" button.
A box will pop up asking you to enter the amount of WETH you are willing to bid. You can enter any amount of WETH and choose the bidding duration. You can set a shorter bidding duration first, so you won't forget any pending WETH bids. Then, click "Make Offer."
If you want to purchase any NFT under a collection rather than specifying one, you can save time by setting a bid for that collection. Instead of bidding on a single NFT within that collection, you make an offer applicable to all NFTs in that collection. Additionally, by bidding below the floor/normal price on rarer NFTs, you can achieve significant profits once accepted and resold.
Furthermore, you can bid on NFTs being auctioned on BendDAO with a health index below 1, as their bidding prices are often lower than the floor price. However, it is worth noting that once you bid, your funds will be locked for 48 hours, during which there is a risk of a sudden drop in the floor price.
Conclusion
Make Offer is a very useful feature. When purchasing your NFTs, if the price of the NFT you want is too high, you can try to buy it at a lower price using this method instead of directly purchasing at the seller's price. From the analysis, we can see that most normal bids are related to blue-chip NFTs, and the top bidders on OpenSea are making profits. So, why not try using this feature the next time you purchase an NFT?
