Paper Number
ICIS2025-2645
Paper Type
Complete
Abstract
Non-fungible tokens (NFTs) are a rapidly growing class of digital assets, yet their valuation dynamics remain only partially understood. Prior work has largely emphasized intrinsic traits such as rarity and visual features, while giving less attention to how buyer–seller interactions and wallet-level histories influence pricing. Focusing on the Bored Ape Yacht Club (BAYC), we integrate transaction-level data from OpenSea and Etherscan to examine how traits, wallet behaviors, and timing combine to shape market outcomes. Using econometric and machine learning methods, we find that traits dominate initial valuations but their effects decline over time as buyer and seller reputations, captured through portfolio size, transaction histories, and gas expenditures, emerge as stronger determinants of price. We observe wallet-level behaviors consistent with strategic trading among large “whale” accounts. These findings extend digital asset valuation research by showing how NFTs function as distinct ecosystems where design, reputation, and behavior jointly determine value.
Recommended Citation
Liu, Qirui and Garg, Rajiv, "Unveiling NFT Price Dynamics: The Interplay of Traits, Timing, and Social Signaling" (2025). ICIS 2025 Proceedings. 12.
https://aisel.aisnet.org/icis2025/fintech/fintech/12
Unveiling NFT Price Dynamics: The Interplay of Traits, Timing, and Social Signaling
Non-fungible tokens (NFTs) are a rapidly growing class of digital assets, yet their valuation dynamics remain only partially understood. Prior work has largely emphasized intrinsic traits such as rarity and visual features, while giving less attention to how buyer–seller interactions and wallet-level histories influence pricing. Focusing on the Bored Ape Yacht Club (BAYC), we integrate transaction-level data from OpenSea and Etherscan to examine how traits, wallet behaviors, and timing combine to shape market outcomes. Using econometric and machine learning methods, we find that traits dominate initial valuations but their effects decline over time as buyer and seller reputations, captured through portfolio size, transaction histories, and gas expenditures, emerge as stronger determinants of price. We observe wallet-level behaviors consistent with strategic trading among large “whale” accounts. These findings extend digital asset valuation research by showing how NFTs function as distinct ecosystems where design, reputation, and behavior jointly determine value.
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Comments
22-FinTech