How OS2 and Strategic Changes Are Shaping Its Future
The NFT market has been struggling since its peak in 2022. By 2023, total trade volumes dropped below $9 billion. However, December 2024 brought renewed optimism with the highest trading activity in over a year. OpenSea, which once led the NFT market, has faced stiff competition from Blur.
Blur gained market share with its own token and lower royalty fees for creators. In response, OpenSea has been working to reclaim its position. The platform reported over $4 million in revenue in December 2024, marking its strongest performance in years.
OpenSea’s CEO, Devin Finzer, announced significant changes to the company in late 2023. To speed up the launch of OpenSea 2.0, the company laid off half its workforce. The updated OS2 platform introduces several new features. These include a 0.5% marketplace fee and the removal of swap fees. It also integrates 14 additional blockchains, such as Ethereum layer-2 networks Sonieum and Apechain.
OpenSea’s Policy Reversal and Strategic Shifts
OpenSea has reversed several previous policies by re-enabling locked items, reinstating delisted collections, and lifting some bans it now considers unnecessary. Finzer acknowledged that OpenSea had become “too corporate, too Web2” and said the company needed a complete reset.
The SEA token launch is happening amid shifting U.S. crypto regulations under President Donald Trump‘s administration. Since taking office on January 20, Trump has expressed a desire for the U.S. to lead in the crypto sector. He has nominated pro-crypto figures to key regulatory positions.
OpenSea has been under legal scrutiny regarding whether NFTs sold on its platform could be classified as unregistered securities. Although investigations are ongoing, the administration has hinted at easing enforcement measures. The introduction of a fungible token like SEA could invite further regulatory attention.
This announcement follows the recent launch of PENGU, the token for the Pudgy Penguins NFT collection. PENGU debuted with a $3.5 billion market capitalization in December 2024 but later dropped to around $620 million. While the Pudgy Penguins team has not clarified the token’s utility, Bybit suggested it might serve a governance role.
Since its launch in 2017, OpenSea has generated nearly $1 billion in fees. Backed by Andreessen Horowitz, the company hopes OS2 and SEA will help drive its recovery. With regulatory changes on the horizon and competition intensifying, OpenSea is positioning itself for a comeback. The platform aims to regain users’ trust and revitalize the NFT market.