# Why NFT floor price is bullshit

*Does the floor price of an NFT collection actually important or just speculation?*

By [aduttya.eth](https://paragraph.com/@aduttya.eth) · 2022-10-29

nft

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Despite being the most popular measure for the value of a collectible or PFP NFT, listing floor price is a bullshit metric

What is the floor price? let’s make sure we are on the same page about the floor price.

**floor price = the cheapest NFT you can buy in a collection on a marketplace like opensea.**

![](https://storage.googleapis.com/papyrus_images/3dd0c9e8e552c40c60b482304254b926.png)

doodles from opensea

Let’s start with this question, Does the floor price of a collection tell you the true value of an NFT?

“The real floor is the lowest price where sales are actually taking place. This is the price buyers are willing to buy at. The price that really matters.”

The “true value” of your NFT is not the floor price. It’s almost always lower than that. Let’s use an example of it.

In the Bored Ape Yacht Club collection, the real floor has consistently remained about 14% lower than the listing floor. Here I define the real floor as the bottom 5% percentile of sales made that day.

![](https://storage.googleapis.com/papyrus_images/4782e3972d9aff6543c98201ea503860.png)

This means that if you ever wanted to sell a common bored ape instantly, the right strategy would be to ask for 14% less than the listing floor.

On the flip side, this opens up a golden opportunity for buyers. If you’re a buyer you could submit a bunch of bid proposals at that level and possibly get a better price than if you instant bought an NFT on the listing floor.

### Not convinced, let’s use two more examples For the

coolcats collection, the real floor sits ~17% below the listing floor For the

[moonbirds](https://twitter.com/moonbirds) collection, the real floor sits ~14% below the listing floor.

### **What’s the takeaway here?**

The listing floor is a **mirage**. A fantasy. An illusion. Watch sales data to gauge “real value”. Here is a dashboard

[https://dune.com/niftytable/listings-vs-sales](https://dune.com/niftytable/listings-vs-sales)

It feels like NFT floor prices are just like when a girl asks you how tall you are. You might say 6’0 but you know damn well you’re 5’10.

Let’s bust some more in next article.

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*Originally published on [aduttya.eth](https://paragraph.com/@aduttya.eth/nftfloorprice)*