Welp, another centralized NFT marketplace bites the dust. Bybit just announced it’s shutting down its NFT marketplace, joining a growing list of crypto exchanges tapping out of the NFT game. 😬

This isn’t just a one-off case—we’re seeing a trend where major exchanges are stepping back from NFTs, despite the market showing signs of revival. So what’s really going on? Let’s break it down.

🔍 Bybit’s Exit: What Happened?

📉 Declining trading volumes – NFT markets have been struggling with low liquidity on centralized platforms.

⚖️ Regulatory uncertainty – Exchanges are facing more scrutiny than ever, and NFTs are still a legal gray area in many regions.

💰 Revenue vs. resources – Running an NFT marketplace isn’t cheap, and if the numbers aren’t adding up, exchanges are cutting losses fast.

❌ CEX NFT Marketplaces Are Failing—Here’s Why

Bybit isn’t alone. Remember when Binance, Kraken, and Coinbase all tried their hand at NFTs? How’s that working out for them? Spoiler: Not great.

🔹 Binance NFT removed support for Bitcoin Ordinals after barely launching.

🔹 Kraken NFT shut down quietly due to low demand.

🔹 Coinbase NFT had big ambitions but ended up with almost zero volume.

The takeaway? Centralized exchanges (CEXs) aren’t built for NFTs. The NFT space thrives on decentralization, creator royalties, and community-driven innovation. But CEX marketplaces? They’re just another trading venue with none of Web3’s real ethos.

🚀 So Where’s the Real NFT Action?

While CEXs struggle, on-chain marketplaces like Blur, Magic Eden, and OpenSea are still seeing volume. And let’s not forget Bitcoin Ordinals and Solana NFTs are booming.

🔹 Blur is dominating ETH NFTs with airdrop farming mechanics.

🔹 Magic Eden is integrating with Bitcoin & Ethereum to stay ahead.

🔹 Ordinal collections on BTC are attracting whales and degens alike.

The NFT market isn’t dead—it’s just evolving in ways centralized exchanges can’t keep up with.

🔥 Final Thoughts—Who’s Next?

With Bybit out, who’s next? Will Coinbase finally admit defeat? Will Binance fully abandon NFTs?

Or are we just in a cycle reset before the next NFT bull run?

What do you think? Are NFT marketplaces on CEXs doomed, or is there a way to make them work? Sound off below.