The NFT market has recently been affected by three bank collapse situations. These financial institutions include Silicon Valley Bank, Silvergate, and Signature Bank. Strict rules, a downturn in the economy, a liquidity shortage, and a failure to honor consumer withdrawal requests all contributed to this incident.
Silicon Valley Bank (SVB), a virtual bank, recently went under, and DappRadar observed a sharp decline in trade volumes for non-fungible tokens (NFTs).
According to the DappRadar analysis, NFT's trading volumes were erratic before the March 10 Silicon Valley Bank scandal, ranging between $68 million and $74 million. By March 12, it had dropped to $36 million. The daily sales of non-fungible tokens fell by 27.9% between March and June, which contributed to the fall in trading volumes.