U.S.-Based Art Collective Kanbas Makes Historic NFT Purchase

Last week, U.S.-based art collective Kanbas made the largest non-fungible token (NFT) purchase in three years, acquiring a 1-of-1 artwork by Sam Spratt for $3 million.

The artwork, titled “X.Masquerade,” is the sixth chapter in the “Story of Luci”. This piece is linked to an upcoming invite-only event wherein supporters can engage in a game by purchasing a “Mask of Luci” for 2.56 ETH (approximately $6,800).

> “We’re proud to stand beside him [Sam Spratt] and help share Masquerade with the world. It is our way of honoring Sam’s trust, the monumental work he’s created, and—above all—the shared values that underpin it,” Kanbus shared on X.

The purchase aligns with a recent boost to the NFT sector, spurred by a marketing campaign from NFT platform OpenSea, which includes a token airdrop. Reportedly, NFT trading volume reached $40 million in the past 24 hours, marking a 29% rise from the previous day according to CoinGecko.

Despite this resurgence, the overall NFT market has struggled to reach the peak levels of prior cycles; activity is significantly down, and general sentiment is declining, with collections like CryptoPunks and Bored Ape Yacht Club witnessing price drops of 71% and 91%, respectively.

This downturn is intertwined with a $73 billion rise in memecoins this cycle, which retail investors seem to favor due to lower transaction fees, increased liquidity, and a more accessible entry point.

Kanbas’ $3 million purchase may illustrate a more mature NFT market, shifting focus from speculative profile picture (PFP) collections to authentic art, valued by a smaller, dedicated audience rather than mass appeal.

While the explosive growth of NFTs in 2022 drew in millions and amassed billions in weekly volume, it proved unsustainable. As underlying assets diminished, NFT collectors began to cut losses by underpricing, triggering a liquidity crisis.

All speculative bubbles eventually burst; many ICO tokens from 2017 are no longer functional, but the ones that persist hold significant value. For NFTs, the focus appears to have shifted from quick monetary gains to appreciating the cultural and creative significance of the art itself.