This Popular Footwear Brand Made $185 Million from NFT Sales
As per the latest reports, global footwear giant Nike (NYSE: NKE) has made a staggering $185 million so far from the sale of its non-fungible tokens (NFTs). Non-fungible tokens have proved to be an exciting revenue channel for such brands and consumer-centric businesses.
Citing a major boom in the NFT market last year, some of the top brands were quick to venture into this sector. These brands also see NFTs are a big opportunity to connect with their customers on a deeper level. Furthermore, the blockchain-based NFTs serve as a good tool for these brands to avoid duplicity in the market.
Along with Nike, there are other popular brands like Dolce & Gabbana (D&G), Gucci, Tiffany, and Adidas which have been seeing a new revenue stream with the sale of their NFTs. However, Nike seems to be topping the charts among all of them.
Along with NFTs, Nike is also taking some other bold measures. The company is blending virtual experiences with its iconic branding rights to fuel its NFT sales. Additionally, it has also accelerated its Web3 strategy with the acquisition of NFT startup RFTKT last year in December 2021.
Nike’s NFT Sales By Numbers
As per data from Dune Analytics, Nike has amassed $1.3 billion worth of total transaction volume by secondary trading of its NFTs. It has generated $93 million from primary sales of NFTs while generating another $92 million in the form of royalties.
CloneX is one of the top-performing Nike collections generating a royalty fee of $40 million. The second best performing is the Nike Sneakers-themed NFT collection MNLTH, which generated $25 million in revenue.
Other Nike NFT collections generating at least $1 million in royalty fees are Mint Vial, Skin Vail, CryptoKick, and others. It shows that Nike’s acquisition RTFKT, the creator of the CloneX NFT collection, has really proved great for the company. This NFT firm has been behind most of Nike’s NFT collections such as MNLTH, MNLTH2, Mint Vial.
Nike’s NFT transaction value topped in April 2022 at 12,776 ETH. However, the recent market correction in Q2 2022 has impacted the NFT transaction value which dropped to 6,362 ETH.
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