The Sandbox Q4 2024 Brief

Key Insights

• SAND’s circulating market cap and token price rebounded, with its market cap increasing ~105.25% QoQ and token price rising ~101.74% QoQ, hitting a yearly high of ~$0.94 on Dec. 4, 2024.
• LAND buyer activity contributed to The Sandbox’s Q4 growth, with daily active LAND and non-LAND buyers up ~94.11% QoQ. LAND NFTs remained scarce and retained higher market values compared to non-LAND assets.
• The total amount of staked SAND rose ~20.78% QoQ to ~82.49 million SAND, while the percentage of the circulating supply staked declined by ~43.05% QoQ.
• Alpha Season 4 drove record user engagement, attracting 580,778 unique players who completed ~49.00 million quests and logged ~1.40 million total hours played. The introduction of a Battle Pass system, NFT rewards, and participation from over 40 major brands, including Gordon Ramsay’s Hell’s Kitchen, Attack on Titan, and Terminator, contributed to sustained participation.

Primer

The Sandbox (SAND) is a social gaming metaverse platform where users play, create, and monetize unique experiences alongside their favorite brands, IPs, and celebrities across gaming, entertainment, music, art, and more. The Sandbox leverages Web3 technologies to enable end-user creation and creator economies, differentiating it from existing platforms by providing both players and creators with true ownership of their assets, creations, and rewards as non-fungible tokens (NFTs). The tokenized and gaming features within The Sandbox ecosystem are:

• SAND — an ERC-20 token and digital in-game currency used for purchases, monetization, and asset creation.
• LAND — digital ownable land within The Sandbox virtual world.
• ESTATE — a combination of LANDs to create a larger plot.
• ASSET — created using the VoxEdit application, these assets are converted to ERC-1155 tokens once uploaded to The Sandbox marketplace.
• AVATARS — ERC-721 tokens that are playable characters within The Sandbox.
• CATALYST — ERC-1155 tokens burnt to define an ASSETs tier/scarcity.
• Game Maker — a toolbox that enables users to create 3D games and experiences.
• VoxEdit — software used to create and animate equipment and other gaming assets.
• Game Client — enables players to play experiences created with the Game Maker.

The Sandbox operates digital real estate known as LAND NFTs, which serve as the foundation for interactive gaming, hosting metaverse experiences, and generating player activity. There are over 166,464 plots of LAND on The Sandbox Map, the platform’s virtual world grid, with each plot being 96×96 meters. These plots are NFTs that players can buy, sell, or use to create interactive experiences. Content Creators use LAND to build immersive gaming experiences, social hubs, and more, as well as develop and showcase interactive content, making it one of the most valuable NFT assets within the Sandbox ecosystem. To monetize their experiences, Creators must have their experience published to a plot of LAND on The Sandbox Map.

The Sandbox was initially launched as a 2D mobile game in 2012 by the software development company Pixowl before rebranding to a 3D metaverse game in May 2018. It offers avatar-centric gameplay in the form of single and multiplayer experiences, created by end users (UGC) and internal The Sandbox teams. Digital ownership plays a pivotal role in the overall ecosystem, offering a more robust in-game economy due to the tradeable nature of the SAND token and other assets within The Sandbox virtual world. Such assets include in-game, user-generated NFTs that can be used or sold on The Sandbox Marketplace or other notable NFT trading platforms.

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Key Metrics

Financial Analysis

Market Cap and Price

By the end of Q4 2024, The Sandbox grew to a circulating market cap of ~$1.32 billion, experiencing an increase of ~105.25% QoQ (from ~$645.34 million) or ~4.96% YoY (from ~$1.26 billion). SAND’s token price showed similar positive growth to ~$0.54, increasing ~101.74% QoQ (from ~$0.27) but down ~8.52% YoY (from ~$0.60). Notably, SAND reached its highest market cap and token price of the year on Dec. 4, 2024, recording a ~$2.27 billion market cap at ~$0.94 per token.

Sales Volume

The total primary sale volume represents the USD value of assets sold by The Sandbox, with the company retaining the revenue from these sales.

The Sandbox facilitates six types of primary sales:

1. Public Non-LAND Sales: These include digital assets sold directly by The Sandbox that are not categorized as LAND. These may include in-game assets, avatars, or other NFT-based items designed for use within The Sandbox ecosystem.
2. Public LAND Sales: These refer to LAND parcels made available to the general public for purchase by The Sandbox. These sales typically follow a scheduled release format and are often associated with thematic partnerships or metaverse expansion events.
3. Private LAND Sales: These are direct sales of land parcels to specific partners, brands, or entities. They are often negotiated privately to onboard ecosystem participants who add value to The Sandbox’s virtual world.
4. Private ESTATE Sales: An ESTATE is a larger, combined plot of LAND. Private ESTATE sales involve direct agreements between The Sandbox and select partners, typically reserved for large-scale metaverse developments.
5. Private Auctions: LAND or ESTATE parcels are sold through an invite-only auction process, where select participants can bid on digital real estate. These sales often involve premium or strategically valuable LAND plots.
6. Public Auctions: LAND parcels are sold through an open bidding process, allowing anyone to place competitive bids. These auctions are conducted on marketplaces like OpenSea and GBM, where the highest bidder secures ownership.

The Sandbox’s secondary volume is driven by the resale of LAND parcels on secondary marketplaces. Key sources of this secondary volume include OpenSea and The Sandbox Marketplace.

In Q4 2024, The Sandbox’s total LAND sales volume, including primary and secondary sales, reached ~$2.43 million. The Sandbox recorded ~$902,000 in primary LAND sales volume, reflecting a ~203.70% QoQ increase from ~$297,000 in Q3. Despite the surge in primary sales, secondary market activity accounted for most LAND sales volume, totaling ~$1.53 million for the quarter.

Notably, on Dec. 4, 2024, The Sandbox recorded its highest single-day LAND sales volume for the year, with ~$125,572 in primary sales and ~$170,490 in secondary sales.

Quantitative Analysis

In Q4 2024, the daily average SAND staked increased ~20.78% QoQ, rising from ~68.30 million SAND in Q3 to ~82.49 million SAND in Q4. The amount of tokens staked by non-LAND owners totaled ~60.61 million SAND, while the amount staked by LAND owners totaled ~21.88 million SAND. However, the percentage of the circulating supply of SAND staked fell by ~43.05% QoQ, from ~3.33% to ~1.90%.

SAND staking occurs on Polygon and operates through two pools: one exclusively for LAND owners and another open to all SAND tokenholders. LAND owners can stake up to 2,000 SAND per LAND asset in their designated pool. In the general pool, any SAND tokenholder can participate, with LAND owners receiving a staking multiplier based on the number of LAND assets they own.

The Sandbox Marketplace is the marketplace where users can buy, sell, and trade assets (like NFTs) with SAND. It plays a crucial role in the platform’s ecosystem by allowing creators to monetize their digital content and enable customization for creators and players. In addition to listing assets for sale, creators can purchase CATALYSTS, props, characters, and assets to place inside their games. CATALYSTS are an ERC-1155 token designed to empower creators on the platform, allowing them to mint assets and define their rarity and properties according to different tiers. Creators must own a catalyst to mint an asset in the marketplace (One catalyst per asset minted). Players use the marketplace to purchase items to customize their avatars. LAND can also be sold or bought in the marketplace. Non-LAND assets may include in-game assets, avatars, or other NFT-based items designed for use within The Sandbox ecosystem While non-LAND NFTs typically hold lower market value, they play an essential role in various platform activities for both creators and players.

In Q4 2024, The Sandbox recorded 5,903 daily active LAND and non-LAND buyers, increasing ~94.11% QoQ (from 3,041). More specifically, there were 1,344 LAND buyers and 4,559 non-LAND buyers. The increase in non-LAND purchasers may be attributed to the three avatar sales which occurred in Q4 2024. The Sandbox released a collection of 1,469 avatars with popular DJ, BLOND:ISH, and another collection of 1,600 avatars with Attack on Titan. Each collection offered owners a 150 EP bonus towards their Alpha Season 4 battle pass and the opportunity to participate in the 65,000 SAND prize pool inside their corresponding experiences. The Sandbox also hosted a Black Friday sale, whereby players could purchase avatars and receive a 25 SAND rebate.

LAND NFTs are relatively scarce and command a higher market value, with a floor price of ~0.11 ETH on OpenSea as of Dec. 31, 2024, limiting the pool of potential buyers. In contrast, non-LAND assets are priced significantly lower, with a floor price of ~0.0001 ETH on OpenSea as of the same date, making them more accessible to a broader range of buyers. This greater accessibility has contributed to higher activity and transaction volume for non-LAND assets within The Sandbox ecosystem.

Additional Developments

Alpha Season 4

The Sandbox’s Alpha Season 4, held from Oct. 9, 2024, to Dec. 18, 2024, marked its largest event to date, spanning 10 weeks and featuring ~100 different experiences, including ~40 from major brands. The season introduced a Battle Pass system with ~30 progression levels, enabling users to earn SAND, NFTs, and Ethos Points, a key metric for in-game engagement and progression. Players could enhance their earnings by purchasing premium Alpha Pass NFTs, which granted access to token-gated experiences and boosted reward potential.

The event witnessed strong user engagement, with 580,778 unique players participating, ~40.00 million quests completed, ~1.40 million total hours played, and ~1.20 million blockchain transactions recorded. The average user playtime reached ~144 minutes.

Some of the most popular experiences included the Alpha Season 4 Social Hub, Rabbids: Unblock Plunga Party (in partnership with Ubisoft), Fork Off by Hell’s Kitchen, Love Island: Labyrinth of Love, and Club XYZ, featuring global music icons like BLOND:ISH (CULTR), Jamiroquai, and Galantis.

A highlight of Alpha Season 4 was its rich SAND reward pool and the distribution of ~170 limited edition, branded NFTs. By the end of the event, ~15.50 million SAND had been claimed, with ~58,543 users purchasing Alpha Passes in order to unlock additional in-game benefits.

Earning mechanisms throughout the season had a variety of SAND rewards.

• All players had the opportunity to earn 25 SAND through the Battle Pass, while Alpha Pass holders could accumulate an additional 300 SAND.
• LAND owners were eligible for an 80 SAND bonus, contingent on the community’s collective accumulation of Ethos Points.
• A raffle was held on the season’s last day, awarding 1,000 SAND to 500 winners each.

Beyond SAND incentives, The Sandbox distributed exclusive NFT rewards. In keeping with the season’s theme, players were able to acquire wearable in-game Space Helmet NFTs, with a Gold variant available for pre-registered users and a White variant claimable by all who logged in during the season. The Battle Pass also introduced 20 NFTs, consisting of 10 general-access items and 10 Alpha Pass holder exclusive NFTs. Additional Adventure Quest NFTs were distributed to users who completed quests across ~40 partnered experiences.

Overall, The Sandbox Marketplace saw the release of ~110 branded NFTs from ~40 partner collections including Playboy, Love Island, and Terminator, made available in limited quantities. By the end of the season, ~2.69 million NFTs had been distributed, while ~331,859 NFTs were sold.

LAND Sales

The Sandbox held two LAND sales in Q4 2024.

The Attack on Titan LAND sale was launched on September 26, 2024, the first park unveiling inside the Adventure World neighborhood. The sale included 21 Standard plots, 14 Attack on Titan Premium LANDs, and seven LANDs reserved for auction. All LAND owners received a Defender District t-shirt featuring the neighborhood logo, and Premium LAND purchasers received a digital creator asset pack from Attack on Titan, including Titans and house models inspired by the Trost District, a key location from the manga, and a limited edition Attack on Titan shirt. This LAND sale changed the purchase flow, and The Sandbox removed the “allowlist period,” enabling purchasers to buy their LAND at the launch of the sale. This pivot in strategy played a key role in increasing purchase volume for both AdventureWorld and LAND sales.

The King Kong of Skull Island LAND sale was launched on Oct. 24, 2024, as part of its AdventureWorld: Brawlers Ring expansion. The sale included 141 Standard plots, seven Premium plots, three Estate auctions, and five 1×1 auctioned LANDs. As the first significant collaboration with the King Kong franchise, it offered exclusive rewards, including custom-branded King Kong boxing gloves for all LAND owners. At the same time, Premium LAND buyers received autographed memorabilia and NFT asset packs.

DAO Updates

Throughout Q4 2024, The Sandbox DAO voted on four proposals: 1 passed and 3 failed. The total value of passed proposals was ~$83,000. The DAO’s implementation costs vary for each approved proposal and are spent monthly upon reaching project milestones or when the project is completed. For a complete overview of The Sandbox DAO, see The Sandbox’s Snapshot governance page here. Below are two proposal highlights from the past quarter:

• On Dec. 25, 2024, SIP-16 was approved, adding an in-game inventory filter for equipment in The Sandbox Game. This feature allows players to sort items based on attributes like catalysts, slots, and numerical values, significantly enhancing usability and reducing time spent managing inventory. The proposal was initiated by MetaWorlds, a project partner known for publishing mini-games and hosting the Sand DAO Podcast, and does not require a SAND budget.

Additionally, on Oct. 7, 2024, The Sandbox announced the adoption of a progressive decentralization strategy focused on creating Sandbox Improvement Proposals (SIPs) that benefit the ecosystem, not just internal governance. This initiative seeks to ensure a gradual transition that prioritizes empowerment, stability, and the protocol’s focus on sustained governance development. The Sandbox’s Special Council, tasked with overseeing Sandbox Improvement Proposals (SIPs), was key in guiding this governance transition.

Closing Summary

The Sandbox saw notable growth in Q4 2024, primarily driven by heightened user engagement and increased LAND sales activity. Alpha Season 4 ended with 580,778 unique players, ~39.20 million quests completed, and ~1.40 million total hours played. The Battle Pass system and NFT rewards helped sustain participation, reinforcing The Sandbox’s ability to retain users through structured incentives. At the same time, the involvement of over 40 brands within Sandbox drove appeal to a wide array of audiences. Governance and ecosystem expansion continued to evolve, with The Sandbox DAO approving two key proposals to improve gameplay mechanics and fund new experiences.

The expansion of listings in The Sandbox Marketplace—from LAND and avatar sales to the creativity of end-user generated assets – played a key role in growth, with daily active LAND and non-LAND buyers increasing ~94.11% QoQ. While LAND NFTs retain higher market value and scarcity, non-LAND assets remain a driver of transaction volume. Primary LAND sales increased ~203.70% QoQ, though secondary market activity dominated overall LAND trading. Branded LAND sales — such as Attack on Titan and King Kong of Skull Island — expanded The Sandbox Map, offering new opportunities for creators and fans to enter the ecosystem.