NFT Market 2025: Supply Up, Prices Down—How Physical Art Tokenization Wins

The 2025 NFT market moved decisively into a high-volume, low-price phase: creators minted more, while buyers spent less per item and less overall. For artists, galleries, and brands, that shift doesn’t mean “NFTs are dead” — it means lazy drops get diluted fast, and the winners lean into provenance, storytelling, utility, and real-world credibility (especially when tokenizing physical art).

One practical response is to treat NFTs less like lottery tickets and more like digital wrappers around real assets and real communities — which is where an NFT-focused partner like Hoken Tech can fit into the stack (strategy + tools + distribution/content).

From the data from CoinGecko and CryptoSlam we see:

• Total NFT supply grew to 1.34 billion in 2025, up 25% from 1.0 billion in 2024. (Source: CryptoSlam)

• Total NFT sales fell to about USD 5.63B in 2025, down 37% from USD 8.9B in 2024. (Source: CryptoSlam)

• Average sale price slipped to USD 96 (2025) from USD 124 (2024), far below the ~USD 400 averages seen during the 2021–2022 boom. (Source: CryptoSlam)

• NFT market cap compressed to about USD 2.4B by end of 2025, down from ~USD 10.8B in Dec 2024 and ~USD 17B peak in Apr 2022. (Source: CoinGecko)

From the data we highlights a massive supply expansion:

• 2021: 38M

• 2022: 106M

• 2023: 550M+

• 2024: 1.0B

• 2025: 1.34B

That’s roughly a 35× increase (~3,400% growth) over four years. (Source: CryptoSlam)

What this means in practice: attention and liquidity are being stretched across an enormous inventory. So projects without a sharp concept, verifiable authenticity, or buyer incentives get lost.

In an oversupplied market, scarcity and credibility matter more than ever. Physical art has built-in advantages:

• Natural scarcity (one original, limited editions)

• Story + provenance (artist, medium, exhibitions, ownership history)

• Real-world value anchors (collectors understand physical markets)

• Better fit for utility (certificates, access, experiences, licensing)

In short: if buyers are spending less per NFT, you can compete by offering more reality per token — clear rights, verified origin, and collector-grade documentation.

Hoken Tech focuses on connecting brands to people through NFTs, leveraging this channel both globally and economically, allowing NFT artworks to be digitally monetized.

Having operated on the Italian and international markets for several years, Hoken Tech has gained the necessary experience, thanks to various collaborations with national and international artists, such as Juan Tardivo, as well as associations and foundations, such as the CEA Foundation, to oversee all phases of the project, from collection management to project implementation, including integrations with Web3 video games and exclusive access via NFTs.

1) Digitize like a collector would inspect

• High-resolution scans or controlled-light photography

• Detail shots (texture, signature, edges)

• Optional: short “studio proof” video of the piece

2) Package provenance (this is your edge in 2026)

• Certificate of authenticity (COA)

• Edition number, size, year, medium, condition notes

• Artist statement + documentation (exhibitions, press, prior sales if relevant)

3) Define what the NFT actually grants

Oversupply punishes vague promises. Spell out:

• What transfers on sale: token ownership vs copyright/licensing

• Redeemability: can the NFT be redeemed for the physical artwork?

• Collector perks: studio visits, private drops, print rights, event access

4) Mint with disciplined supply

In a market where supply is exploding, discipline signals seriousness:

• 1/1 for originals

• Tight editions for prints (e.g., 25–150), not 10,000 unless you’re a brand with distribution

5) Distribution > minting

Most projects fail on distribution, not tech:

• Collector outreach, gallery partners, communities

• Cross-posting stories, behind-the-scenes, drops calendar

• Secondary market support (clear metadata, consistent collection page)

6) Use an NFT partner for execution and messaging

This is a natural insertion point for Hoken Tech: positioning, narrative, go-to-market, and tooling support around NFTs so you don’t ship a technically-minted project that nobody sees.

If you’re an artist, gallery, or brand looking to bring real-world assets to Web3, explore our solutions at Hoken Tech, where we focus on connecting brands to people through NFTs.

If credibility is your priority, our emphasis on authentication aligns well with what collectors increasingly demand: proof, provenance, and trust.