NFT market surpassed $40 billion in 2021, new estimate shows

Nearly $41 billion worth of cryptocurrency was sent to two types of Ethereum smart contracts associated with NFT marketplaces and collections from the beginning of 2021 through mid-December, according to a new estimate from blockchain analytics firm Chainalysis Inc. 

The metric revises an estimate the firm included in a December report on NFTs that was based on data through mid-October, said Maddie Kennedy, a spokeswoman for Chainalysis. 

The popularity of NFTs, or non-fungible tokens, exploded in popularity last year with recording-breaking, multimillion-dollar sales and celebrities, such as singer Shawn Mendes, socialite Paris Hilton, and former first lady Melania Trump jumping on the bandwagon.