It’s All In How You Frame It: Understanding The Dynamics of NFT Value Accrual

The PFP NFT market has evolved significantly since its speculative frenzy in 2021, with trading volumes plummeting and most projects fading into irrelevance. Despite this downturn, standout collections like Pudgy Penguins and Doodles have leveraged their IP to build revenue streams and expand cultural relevance. This report examines how value accrues to NFTs across three frameworks—status symbols, productive assets, and community memberships. By analyzing these frameworks and their interactions, we uncover the dynamics driving long-term value, helping identify opportunities in projects capable of establishing sustainable virtuous cycles.