Christie’s, a name synonymous with the global fine art market, has announced the closure of its digital art department. The decision comes amid a prolonged downturn in the NFT sector, where trading volumes and collector interest have significantly declined over the past year. Once celebrated for bringing NFTs into the mainstream art world, Christie’s is now scaling back its involvement in digital assets.

The closure marks a sobering reality for the NFT industry, which had experienced a meteoric rise during the 2021–2022 boom. Collections such as Bored Ape Yacht Club and CryptoPunks dominated headlines, with multi-million-dollar auctions capturing global attention. However, the market has since cooled, leading to reduced demand and falling valuations.

For Christie’s, the shift away from NFTs underscores the auction house’s focus on traditional fine art, where demand remains stable. While blockchain-based art offered innovation and excitement, its volatility and lack of sustained interest proved unsustainable for long-term institutional commitment.

Nevertheless, industry experts suggest this is not the end for NFTs, but rather a period of consolidation. As the technology matures, NFTs may reemerge in more practical and integrated forms, potentially blending digital ownership with real-world utility. For now, Christie’s exit highlights the challenges the NFT ecosystem faces in achieving mainstream permanence.