X2Y2 to Shut Down as NFT Market Declines, Team Shifts Focus to AI-Powered DeFi
X2Y2, once a dominant player in the NFT marketplace sector, will officially shut down on April 30, marking the end of a three-year run that saw the platform briefly rival OpenSea in trading volume during the peak of the 2021 NFT boom.
The decision follows a prolonged downturn in the NFT market, with trading volumes plummeting nearly 90% from their all-time highs. In a statement, the X2Y2 team acknowledged that sustaining a competitive marketplace had become increasingly difficult.
“Marketplaces thrive on network effects, and after three years, it’s evident that the conditions are no longer in our favor,” founder TP wrote in an announcement.
Launched in early 2022, X2Y2 facilitated $5.6 billion in total trading volume, according to data from TokenTerminal. However, with declining user activity, the team has decided to shift focus.
While the platform’s smart contracts will remain functional, users are urged to withdraw assets or migrate their trading activity before the shutdown. Following the announcement, X2Y2’s native token plunged 10.7% to just over $0.001, extending its two-year decline to 97.7%.
Looking ahead, the X2Y2 team is pivoting toward a new venture centered on AI-powered decentralized financial tools, signaling a strategic shift beyond NFTs.
