From views to value: Analyzing the impact of online engagement on non-fungible tokens market valuations in the Sandbox metaverse

Abstract

This study investigates the correlation between the number of views and non-fungible tokens (NFTs) valuation, explicitly focusing on Sandbox land assets. This study uses data from the OpenSea marketplace to examine various valuation metrics, including current price, offer price, and floor price. It develops a digital investment valuation and analysis (DIVA) model to predict NFT valuations. This study employs a quantitative research design, incorporating descriptive statistics, correlation analysis, and multiple regression analysis to analyze the data. The findings reveal significant positive correlations between views, offers, and current prices, highlighting the critical role of attention in NFT valuation (Wang et al., 2021). The validated DIVA model demonstrates strong predictive power, explaining 75 percent of the variance in current prices. These insights are crucial for investors, creators, and platform operators, emphasizing the importance of visibility and engagement in maximizing NFT values (Sun, 2024). This study aims to contribute to the literature on digital asset valuation and offers insights that may inform investment strategies and market efficiency in the evolving NFT market. Future research should consider more extensive and diverse samples and explore additional variables to refine the valuation model.