X2Y2 to Shut Down as NFT Market Declines, Team Moves to AI-Driven DeFi

X2Y2, once one of the top NFT marketplaces, will officially close its doors on April 30, marking the end of a three-year run that saw it briefly rival OpenSea during the peak of the NFT boom in 2021.

The decision comes as NFT trading volumes continue to collapse, plummeting nearly 90% from their all-time highs. In a statement, the team acknowledged that sustaining growth in the shrinking market was no longer feasible.

“Marketplaces thrive on network effects,” said founder TP. “After three years, we’ve realized it’s time to shift gears.”

Launched in early 2022, X2Y2 recorded over $5.6 billion in total trading volume, according to TokenTerminal data. However, as the NFT market cooled, the platform struggled to retain users and liquidity.

Although X2Y2’s smart contracts will remain operational, users are encouraged to withdraw any remaining assets before the shutdown date. Following the announcement, the platform’s native X2Y2 token dropped 10.7%, now trading at just over $0.001—a 97.7% decline from its peak.

Looking ahead, the X2Y2 team is pivoting toward AI-powered decentralized finance (DeFi) solutions, signaling a strategic departure from the NFT marketplace business.