Thread by @metaversemama

LooksRare sells over 100M in NFTs on first day.

Death to OpenSea or wash trading frenzy?

A quick highlight of the @Coindesk article by @Blockanalia 👇🏽

@scribeDAO

OpenSea may finally have a worthy and more decentralized competitor:

@Looksrare, an NFT marketplace that charges 2% fees on public, and 0% on private, sales and has a token $looks.

👉🏽On its launch day the platform did 105M in sales, while OS did 169M.

👉🏽613 ETH of LooksRare’s fees were distributed to $looks stakers.

👉🏽Over 75k ETH addresses claimed the token airdrop, (worth 3.5k avg) and $looks is about to break into the top 200 coins list.

The platform has a clear product market fit. Traders have often requested an OS token, and more decentralization.

OS currently charges a 2.5% fee on all trades.

Some critics flag the marketplace as a greedy middleman in a decentralized ecosystem.

But there were signs of potential "wash trading" which may amount for a large portion of LooksRare’s volume.

This is where wallets controlled by the same user “sell” back and forth.

The LooksRare team warned that the 2% platform fees could turn wash trading unprofitable.

If token incentives can’t keep users around, will they return to OpenSea?

Read the full story here: coindesk.com/tech/2022/01/1…