In 2023, former U.S. President Donald Trump began converting Ether (ETH) earned from his NFT sales into fiat currency. Trump’s associated wallet has reportedly transferred 1,075 ETH to Coinbase since December 8, amounting to approximately $2.4 million.
Trump’s NFT Ventures
The ETH was earned from Trump’s NFT collections, which included his mugshot from his surrender to authorities in Georgia. His ETH balance, which had been growing since October, reached about $4 million before he started selling. This move is notable considering Trump’s previous critical stance on cryptocurrencies.
Bitcoin Ordinals Stir Debate
The Bitcoin Ordinals protocol, launched in January, has sparked intense debate within the Bitcoin community. Critics argue that it clogs the network and detracts from Bitcoin’s core utility. An instance of explicit content being inscribed onto the blockchain further fueled the controversy. Despite the criticism, Bitcoin Ordinals have been a driving force behind increased adoption and sales within the network.
SEC and NFTs
2023 also saw the U.S. Securities and Exchange Commission (SEC) taking action against NFT projects for unregistered securities sales. The cases against Impact Theory and Stoner Cats 2 (SC2) signaled the SEC’s stance on NFTs as potential investment contracts, prompting dissent within the regulatory body and the wider community.
Ethereum’s Dominance Challenged
Throughout the year, Ethereum’s dominance in the NFT market waned as Bitcoin and Solana saw surges in NFT activity. Bitcoin recorded $796.7 million in Ordinals sales, surpassing Ethereum’s $319.7 million. Solana also outperformed Ethereum with $334.2 million in sales, marking a significant shift in the NFT landscape.
Ordinals trading volumes on Bitcoin since June. Source: CryptoSlam.
Ether’s Price Spike
Despite competition from Solana, Ether experienced a notable price increase of 8.9% over 24 hours, igniting bullish sentiment. Investment analysts and traders expressed optimism about ETH’s potential growth, with some predicting significant price targets.
The Year’s Overview
The year 2023 was marked by several significant developments in the cryptocurrency and NFT sectors, ranging from the diversification of platforms and assets to regulatory challenges and shifts in market dominance. As the industry continues to evolve, these trends highlight the dynamic and ever-changing nature of the digital asset space.