The short answerLooksRare launched with token rewards for trading and generated billions in volume that was overwhelmingly wash trading — users selling NFTs to themselves to farm emissions. The platform still works at a very low fee, and there is essentially no market on it now.
Best forLittle that its competitors do not do better
Approval & custody safetyweight 25%
7.5avg 7.9
Fee clarityweight 20%
8.0avg 8.1
Liquidityweight 20%
4.0avg 6.0
Royalty policyweight 15%
6.5avg 7.3
Chain coverageweight 10%
4.5avg 6.5
Usabilityweight 10%
7.5avg 8.0
this service category average across 15Score = Σ mark × weight. Usable, but there are better options for most people. Methodology.
| Criterion | Mark | What we found | Source | Checked |
|---|
| Approval & custody safety | 7.5 | not sourced yet | not sourced yet | — |
| Fee clarity | 8.0 | not sourced yet | not sourced yet | — |
| Liquidity | 4.0 | not sourced yet | not sourced yet | — |
| Royalty policy | 6.5 | not sourced yet | not sourced yet | — |
| Chain coverage | 4.5 | not sourced yet | not sourced yet | — |
| Usability | 7.5 | not sourced yet | not sourced yet | — |
What we liked, and what fell short
Liked- Very low marketplace fee
- Contracts have operated without a security incident
- Still functional with reasonable tooling
Fell short- Launch volume was overwhelmingly wash trading for token rewards
- Liquidity today is minimal
Why the marks landed where they did
LooksRare is the clearest case study in incentive design gone wrong. It rewarded users with tokens proportional to trading volume, so users traded with themselves at enormous notional prices to maximise rewards. Reported volume exceeded OpenSea's within days and meant nothing.
Why it matters beyond LooksRare
This is why NFT volume statistics require scepticism generally. Wash trading is cheap when the marketplace fee is low and the rewards are high, and any platform running volume-based incentives will produce inflated numbers. CryptoSlam's wash-trade filtering exists specifically because of episodes like this one.
Where it stands
The platform still functions with a very low marketplace fee of around 0.5% and its contracts have not been exploited. Actual liquidity is minimal — the users left when the rewards did.
Royalties
Optional, following the wider market shift.
Who should use it
Few people. Its fee is low and its market is empty, so a listing here reaches almost nobody.
FAQ
Was LooksRare's volume real?+
Overwhelmingly not. Token rewards proportional to trading volume made wash trading profitable, and users traded with themselves at inflated prices to farm emissions.
Is LooksRare still operating?+
Yes, with a low fee and functioning contracts, but with minimal actual liquidity.
What is a vampire attack?+
Launching a competing platform with token incentives designed to pull liquidity and users away from an incumbent — LooksRare's launch against OpenSea is the canonical NFT example.
What does LooksRare charge?+
Around 0.5% marketplace fee, among the lowest available.
