X2Y2 shuts NFT marketplace

NFT marketplace X2Y2 (CRYPTO:X2Y2) will cease operations on April 30 after three years, redirecting its focus to an AI-driven crypto project.

The platform, which generated $53.6 million in trading volume over the past year, cited the “paradigm shift” of AI as its rationale for pivoting.

“It’s a pivot. Over the last 12 months, we’ve been diving deep into AI—hands down the biggest paradigm shift we’ll see in our lifetimes—and how it can transform crypto. We’re building something new,” stated the team in a March 31 announcement.

While X2Y2 ranked fourth in NFT marketplace volume behind Blur, OpenSea, and Immutable, industry observers argue its closure reflects evolving market dynamics rather than sector decline.

“The speculative phase focused on collectibles and trading is over, but NFTs are now entering their next growth era as core infrastructure enabling massive opportunities in gaming, AI, fan engagement and content authentication,” noted Charu Sethi, president of Unique Network.

Sethi emphasised that platforms must prioritise utility over speculation, pointing to blockchain gaming’s 7.4 million daily active wallets in 2024 and Mythical Games’ in-game NFT integrations.

“NFTs remain one of the most powerful primitives in crypto, and the next wave will be led by projects that focus on strong use cases, whether in gaming, digital identity or brand engagement,” echoed Alexander Salnikov, co-founder of Rarible.

X2Y2’s new AI project aims to generate “sustainable, utility-based value” through permissionless mechanisms, though details remain sparse.

The pivot follows a broader trend of crypto firms exploring AI synergies, despite recent volatility in AI-linked tokens.

At the time of reporting, the X2Y2 (X2Y2) price was $0.001351.