Blockchain market data can be a landmine if you don't know what you are looking for. Take bitcoin. Bitcoin miners are responsible for finding and completing transactions on the blockchain, and they work at a pace of about six blocks per hour or 144 blocks per day. On the Ethereum blockchain, blocks can be completed in less than 30 seconds. Individual blocks, meanwhile, contain information like timestamps, fees, difficulty and more. It can seem like a needle in a haystack for someone who is trying to analyze blockchain data with one hand and build with the other.
Mnemonic, an NFT intelligence platform that has emerged on the scene, is trying to solve a problem that blockchain developers face: the massive amount of effort needed to capture critical data. Mnemonic's mission is to remove any barriers to innovation on the infrastructure side so that developers can do what they do best — build apps and products without drowning in what's known as on-chain data.
On-chain data is pretty much what it sounds like: all of the information that is stored on a blockchain like Ethereum, for example. When it comes to NFTs, there are several competing blockchains. While these blockchains are public, and therefore so is the data on them, it can be challenging and time-consuming to extrapolate the data and form an analysis on a specific niche like NFTs.
NFT trading volume neared $11 billion in Q3 2021 alone, according to DappRadar. That's up more than 700% vs. Q2 levels, so NFTs are only growing bigger. For builders who are interested to learn not only which NFTs are selling for how much but also how entire collections compare to one another or how users are interacting with the data, this can be overwhelming. The Mnemonic team aggregates data and adds context so developers can draw conclusions and build faster.
This startup is awakening from stealth mode after attracting $4 million to its coffers in a recent fundraising round and plans to launch to the public in 2022. The round was led by Kenetic with participation from Tribe Capital, Sound Ventures and Monochrome Capital. Even if end users don't access Mnemonic directly, they might very well use applications that were built on its platform or benefit from a better user interface altogether.
Mnemonic lets other companies use its API to create their own NFT-related apps as well as to track and gather NFT-related data. Apparently, APIs have been a pain point for developers lately. Twitter account Chopper, founder of a project called flooredApe, recently launched a Twitter thread in which they pointed out some of the complaints about NFT marketplace OpenSea, saying that it “is quickly losing their most valuable allies: the dev community.” The problem surrounds “never-ending API issues,” which Chopper says is causing devs to jump ship.
OpenSea co-founder and CTO, Alex Atallah, says his door is open and the project, which leads the way for total NFT trading volume at $12.8 billion, wants to improve. He also pointed out that OpenSea recently upgraded its database, the transition for which was “rough” but resulted in a faster experience. Chief among the complaints that Chopper made was a lack of communication on OpenSea's part toward the developer community, such as removing APIs without any warning, which only leaves devs going around in circles.
Pulling on-chain data for NFTs should be easy and offer basic search, intelligence with analytics, rarity, metrics, etc all w/o rate limiting
— maaria.eth (@maariabajwa) December 7, 2021
Now that the NFT landscape is maturing, the competitive landscape is heating up. The OpenSea team is fighting fire with fire and recently tapped former Lyft CFO, Brian Roberts, to serve as its finance chief.
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