Since the launch of the first non-fungible token (NFT), the technology has quickly gained ground and led to the development of other similar assets. The technology behind them makes these assets unique and unclonable, which is where their exceptional value comes from. Unlike cryptocurrencies like Bitcoin or Ethereum, which are fungible, NFTs have no market equivalent. However, once you own the token, nothing can replace it. However, this does not make them more valuable than cryptocurrencies and allows them to see better price growth performance compared to cryptocurrencies. BTC Coin PriceThis is because auditing standards vary depending on the case.
In fact, what the technology behind NFTs has brought to the world is that famous brands such as Nike, Tiffany, Adidas, Prada, Puma, Louis Vuitton, Gucci, Clinique, etc. can leverage it to increase various segments of their sales. Celebrities such as Madonna, Justin Bieber, and Snoop Dogg are also famous for being caught up in the NFT craze.
In the battle for the top-grossing brand spot last year, Nike has generated about $1.4 billion in revenue since 2021 through Nike-RTFKT NFTs, according to data from The Block Research, a provider of reports and analytics. The company bought it that year and managed to sell $3.1 million in NFTs in just seven minutes. Moreover, the company has generated $170 million through more than two dozen collections since the year’s finale.
NFTs have presented a unique and unmissable monetization opportunity for large brands, but it’s normal for some to spot users’ weaknesses and speculate about them. Nike has managed to establish itself as the reigning top brand with the highest revenue generated through NFT collections, and this win has pushed Nike to rank even higher, or at least take the same spot again this year. So what exactly is behind the curtain at Nike? And who are the heavyweights threatening that position?
Nike’s Path to Unparalleled Success
The initial NFT explosion throughout 2021 and 2022 opened the door for countless collections, artists, communities, and developers to take a seat at the front door of the craze that followed. Cryptocurrency-based organizations have generated millions of dollars with NFT creations, with names like Dolce and Gabbana, Tiffany, and Nike topping the list, providing examples for companies to quickly follow.
Despite the huge boom, the hype eventually began to die down. It is undeniable that NFTs have witnessed brighter days before. By the end of 2022, non-fungible token trading volume across all sectors had decreased by approximately 90%.
Moreover, sales from January to August this year decreased by 29%. Despite the rapidly rising prices of Bitcoin, Ethereum, and BNB, which are currently increasing ROI for loyal investors who did not give up despite the instability of last year, the NFT market is not where it used to shine. NFTs will definitely live in better times. Until then, companies like Nike, the market leader in terms of sales, will revitalize the sector and continue to collaborate with other renowned giants to keep the flame alive.
Nike’s second round of sales exceeds expectations
Nike may only get 50% of the proceeds from the second sale volume, while other collections are pinning all their hopes on their share of profits from previous sales. This leading sports brand has kept its promise to improve its customer and user experience in more areas than just the physical. ecommerce store. It is laying the groundwork for a new partnership with gaming giant EA Sports, which has the best-selling franchise titles in the category, according to Guinness World Records. The footwear company earned about $20 million in secondary sales royalties from its single ERC 1155 collection alone, and produced $16 million in April last year.
The RTFKT collection, a collaboration between Nike and artist FEWOCiOUS, now has collectibles worth millions of dollars. The six major RTFKT collections that generated the most revenue were: Each generated more than $1 million in royalty fees.
- CloneX
- MNLTH
- Mint Vial
- MNLTH2
- Cryptokick
- Skin Veil.
Since the October event, NFT transactions have increased by more than 600%.
An event this October, where NFT owners could order limited-edition Nike-RTFKT shoes, led to a surge in non-fungible token trading by more than 600%. NFT owners bought some digital collectibles for around $220, but they are now priced at up to $1,000 on the secondary market, leaving some owners with four times more than they initially spent. According to CryptoSlam!, one of the largest data aggregators, NFT transactions reached $85,000 in September alone, and astronomical sales revenue was recorded in October. The October increase represents a monthly profit of over 600%, a figure no other brand can boast.
Nike is keeping its November promise and partnering with EA Sports for “virtual creations.”
EA Sports is not only a name known to gaming enthusiasts; it represents the largest players in the market, but it is also a hot topic in the financial world. Nike, the world’s leading sports video game publisher, recently announced the launch of a new collaboration that will develop and provide digital assets to collectors. The footwear giant’s Web3 marketplace platform will bring these features to future EA Sports titles.
As for the niche production, no game title has been announced yet, nor is there any information for curious readers to chew on. What is known, however, is that the creations will include clothing and virtual shoes.
The collaboration appears to fulfill a promise the shoe mammoth made when it first released the .Swoosh last November. Large brands have indicated that virtual clothing could be incorporated into “immersive experiences” such as video games and the like.
Obviously, some candidates for the title can be quite intimidating.
Despite Nike’s unrivaled reputation in the NFT space due to its high sales volume, other well-known companies have also stood out in the past period. Dolce and Gabbana came in second in terms of sales, with $25.6 million in sales. Tiffany followed with sales of $12.62 million, and Gucci was not far behind and succeeded in taking fourth place with $11.56 million.
Adidas, Nike’s eternal rival, also came close to the latter, taking fifth place in the rankings with $10.94 million in sales through NFTs.
As you can see, the scoring isn’t that tight. But it’s worth watching the competition to see what else these brands are cooking in the oven and in whose favor the battle unfolds over time!