Nike is betting heavily on new digital technology through what are known as NFTs. A pair of sneakers has just been sold for more than 120,000 euros.
If you were asked what the metaverse is just a year ago, could you provide a detailed description? The digital universe seems to be growing in the number of users and brands are aware of the multiple applications that may be developed in the future. For this reason, companies like Nike are making significant investments in the matter with the aim of anticipating the new fashions that are about to hit the market.
Within the cryptographic ecosystem, the so-called NFT (non-fungible token) seem to be acquiring special relevance. It is true that the fashion of jumpsuits with exorbitant prices has come to an end, but the truth is that this technology can have many more uses. One of the most prominent brands in clothing and sportswear has made a strong commitment to this kind of unique images, which seems to be key in this new digital ecosystem.
Nike, periodically launch images under NFT technology of original models, as well as new models that are about to come out or, simply, present only in the digital market. For a few months, a part of the users has been taking over this type of recreation, thinking about the incredible value that these representations can obtain in the medium term and, of course, believing that a certain revaluation will take place.
So let’s see what is Nike’s proposal in relation to the metaverse and the market related to cryptocurrencies, why Nike has become a benchmark in the industry and, of course, why we are facing a differential technology when it comes to supporting the digital age. Here are the keys to it.
NFT technology as a benchmark in Nike’s business model
Nike is a benchmark in the sports fashion market. This importance, however, began to have a greater importance since Michael Jordan became its main representative in the world of sports. Currently, the company has taken the universe of sneakers or sneakers, to a new level. This market niche is clearly on the rise, which has caused incredible amounts to be paid for a few pairs.
This has led Nike to exploit variants in the digital universe. Riding the wave of this market has become a key element for Nike, as it achieves a company vision adapted to the new needs of the industry. It should be noted, after all, that this company offers, above all, physical and tangible products, so offering services can be somewhat more difficult to trade user-facing.
Still, it seems that the strategy is being a complete success. This is what can be understood after seeing how some of the images released by Nike in NFT format are having prices that reach 120,000 euros, according to information provided by CNET. In particular, the marketed unit that has reached this price corresponds to an exclusive print run of 20,000 units of the digital shoe.
It is one of the Nike’s first moves on crypto, since in December 2021 it decided to acquire a specialized virtual designer. This unit corresponds to the Nike Dunk Genesis Cryptokicks collection. It was bought in the digital world by a user, who paid a total of 45 units of Ethereum at a price equivalent to $130,000. This original model has been designed by the artist Takashi Murakami.
The sneaker industry as a vein, is it a new bubble?
The world of sports shoes, better known as sneakers in the jargon of the market, you are seeing how exclusive print runs are multiplying, contributing to an increase in prices. Companies like Nike or Adidas are continually launching pairs in series of a few thousand units internationally. A few hours after the launch and sale of models, they can be seen on second-hand portals at prices much higher than those of retail.
The commitment to the metaverse and, even more so, to the options known as NFTs, seems to be the next bubble to take place in the sector. The best example of this is shown by one of the images shown above, which already has a value of approximately 120,000 euros. Are we facing a sustainable business model? Certainly, consumer confidence in this type of product is what supports current prices.
It is expected that in the future having NFT units will allow have access to exclusive brand products, which would give a certain legitimacy to this type of product. Even so, it is being seen how it is not necessary to reach this type of value aggregators to have crazy prices.
Related topics: Web3