Electronics Giant LG to Halt NFT Operations. Are NFTs Dead?

South Korean electronics giant LG has announced the closure of its NFT platform, LG Art Lab. Since its debut in 2022, the NFT project has been designed to bring digital art to LG’s premium smart TVs, an initiative that will stop operating by mid-2025.

LG Art Lab to Close After Three Years

LG introduced Art Lab as an NFT marketplace that allows users to buy, sell, and display digital artwork directly on their LG smart TVs. The platform was initially built on the Hedera blockchain before expanding to Ethereum in 2024 to attract more users. Transactions were processed using LG’s crypto wallet, Wallypto.

However, as of March 10, 2025, new purchases have been disabled, and LG has confirmed that the platform will be completely shut down by June 17, 2025. Users who already own NFTs on Art Lab will have their digital assets transferred to their Wallypto wallets by April 30, 2025.

According to LG, the decision was influenced by the shifting landscape of the NFT market. The company stated that it wants to “explore new opportunities” instead of continuing with the platform.  Although LG is sunsetting its NFT project, the company may still explore other means to integrate blockchain technology into its products and services.

Not the First

Like LG, other companies have already closed down their NFT platforms. For example, leading footwear brand Nike exited the NFT market by closing its RTFKT fashion studio in January 2025 after operating for three years. In other news, the popular crypto exchange Kraken closed its NFT marketplace on February 27, citing low demand and shifting market trends.

Around the time both firms shut down their NFT platforms, the United States Securities and Exchange Commission (SEC) probed various NFT projects over claims of unregistered securities offerings. However, the latest leadership change has moved the financial agency to drop the charges against these platforms. This favorable regulatory shift will likely relieve NFT projects and attract more audiences in the long run.