Flow Token at a Record Low

With NBA Top Shots, Dapper Labs has conquered the NFT market.

Dapper Labs rode the NFT market with NBA Top Shots. Now there's a sense of crisis: the Flow token is at a record low.

The months-long bear market has knocked the cryptocurrency behind one of the most successful NFT projects. Flow slipped to a record low of $0.84 yesterday. In April last year, the token was still at $42. The price drop is a sign of the crisis in the NFT market. The company behind the blockchain, Dapper Labs, has already cut jobs.

Trading volume plunges

In early 2021, Dapper Labs was one of the rising players in the budding NFT hype. With its NBA Top Shot series, the company, also behind CryptoKitties, hit a nerve. Sales climbed quickly, many investors, including Will Smith and Michael Jordan, came on board, and the coin rose from one record high to the next. Today, little of that time remains.

The trading volume of the digital basketball token has cratered by almost 40 percent over the past 30 days. The football spin-off "NFL All Day" even dropped 50 percent. NBA NFTs had a trading volume of only two million USD in November—a record-low month.

NFT market in crisis mode

Dapper Labs has been hard hit by the crypto market crisis. In November, the company cut 22 percent of its staff. CEO Roham Gharegozlou cited the "current macroeconomic climate" as the reason. Employees were laid off by mail—that's the style of the new economy.

The Flow Token crash mirrors the tense situation at Dapper Labs. Demand for non-fungible tokens has fallen sharply over the past few months. In December, NFT trading volume could dip below $200 million for the first time this year. The search for Flow's bottom could continue.