Fresh off a $4 million fundraise from some of crypto’s most famous luminaries, NFTGenius CEO Jeremy Born says NFTs are cooling off — and he thinks that’s a good thing.

“In the same way that we saw this massive rise in crypto in 2017 [and] 2018, there was a three-year period where there was a lot going on and crypto prices just went down tremendously,” Born said in an interview with Crypto Investor. “That three-year bear market, in my opinion, brought out some of the best companies out there.”

NFTGenius, which both mints and creates marketplaces for NFTs, closed a seed funding of $4 million last week, backed by Dallas Mavericks owner Mark Cuban, actor Ashton Kutcher, bitcoin advocate Anthony Pompliano and Dapper Labs CEO Roham Gharegozlou.

Its largest project, Gaia, is a marketplace for NFTs that will initially focus on music, but expand to other offerings. It is being built on Dapper Labs’ Flow blockchain, which supports NBA Top Shot.

While it’s difficult to say the NFT market is in hibernation — sales in the collectible market rose again to more than $75 million last week — it has come down from the frenetic height reached in the early spring.

Born says, ultimately, a market reset is necessary.

“These times of reset are really important for builders, for people who want to be here for the long-term,” he said. “It’ll allow people to really focus and build without having a distraction of that noise and the shiny objects, in terms of these just ridiculous prices and speculation.”

Several seem to agree, including partner Dapper Labs. Dapper Labs’ raised $305 million alone in March at a $2.6 billion valuation. The company has since hired dozens of employees, including former Disney manager Tristan Rattink to be the general manager of NBA Topshot.

Other projects, like Sky Mavis’ Axie Infinity, are seeing the fruits of their development.

Axie Infinity moved their project off of the Ethereum blockchain to a sidechain, Ronin, and has seen economic activity in its game explode. The game has produced $85 million in sales in the last 30 days, according to Cryptoslam.io, more than five times the previous month. 

Fresh off a $4 million fundraise from some of crypto’s most famous luminaries, NFTGenius CEO Jeremy Born says NFTs are cooling off — and he thinks that’s a good thing.

“In the same way that we saw this massive rise in crypto in 2017 [and] 2018, there was a three-year period where there was a lot going on and crypto prices just went down tremendously,” Born said in an interview with Crypto Investor. “That three-year bear market, in my opinion, brought out some of the best companies out there.”

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