Non-Fungible Tokens open up an enormous new market to sell limited-edition images, videos, and artwork. They also enable the original licensees – whether they are sports organizations or individual athletes – to share in resale profits. Let’s dive deeper into the NFT sport sphere.
Sport – a fertile ground for NFTs and NFT
Some buy sporting memorabilia for love. Others for money. Auction house Christie’s sold an NFT known as Beeple, for US$69 million in March. Auction house Sotheby’s last month sold a single pixel for $US1.36 million.
But, may we see similar values in the sports NFT collectibles market? Well, yes.
The world record for most money paid for a sports-related item goes to the original Olympic manifesto. It was written by International Olympic Committee founder Pierre de Coubertin in 1982. It changed hands for US$8.8 million in 2019.
One of the most famous soccer players of all time kicks off the list of most expensive sports NFTs, with David Beckham’s 2012-13 digital Rare Player Card clocking in at $432,004.
The Golden State Warriors have become the first professional sports team to launch an NFT Sport Collection. An officially licensed digital collection. It is called The Golden State Warriors Legacy NFT Collection. It commemorates the team’s six NBA championships and includes digital collectibles of their most iconic games in franchise history. A portion of all proceeds from the auction will benefit the Warriors Community Foundation, which has granted over $22 million in impact for Bay Area educational equity since inception in 2012.
As in all markets for collectibles, scarcity equals value. Which is why sport organisations, memorabilia sellers and collectors are getting excited about NFTs, as they are a blockchain-based technology that proves unique ownership of specific digital assets.
NFTs open up a huge new market to sell limited-edition images, videos or artwork. They also enable the original licensees – be it sports organisations or individual athletes – to share in resale profits.
NFT Sport Marketplaces
An NFT sports marketplace is a special platform for everyone who has a great interest in sports and is a dour sport fan. The users are able to purchase, sell and also hold various virtual assets related to a specific sport. If you are interested in sports cards, they are now digitised and you are able to purchase them on various marketplaces. You can also trade them very easily.
There are various assets in NFT marketplace for Sports:
- Virtual Trading Cards
- Video Clips
If you are an NBA fan, go and get your NBA NFT card at NBA TOPSHOT , one of the marketplaces who offers NFT NBA cards.
NBA TOP SHOT describes itself as a:
“Revolutionary new experience in which jaw-dropping plays and unforgettable highlights become collectibles that you can own forever.”
The limits of digital goods often mean that owners can do less with their possessions for technical or legal reasons. They also count on the product’s creator to keep supply limited. A lot of items also still require a digital currency like Ether to purchase. This means their value is in some ways tied to another asset. As long as skepticism remains in traditional collecting communities, some will see that as a knock against the space, while others see room to grow.
What does it mean for leagues and athletes?
It is another marketing opportunity. Leagues sell licensed apparel, video games, and memorabilia. In the same way, are NFTs considered as another class of e-commerce Although with many more potential applications? Top Shot NBA NFT is a good visualization of an early NFT from a league itself, while Rob Gronkowski’s own digital cards show a player-driven version.
The short-term innovation will likely be driven by athletes, who are increasingly becoming their own media platforms. Players’ unions large and small have taken great steps in the past few years to help stars monetize themselves apart from their teams. The NBPA, for example, took back group licensing in the last round of labor talks; the NFLPA and MLBPA recently helped launch OneTeam Partners, a marketing venture that also works with unions representing MLS, WNBA and USWNT athletes.
NFTs Disrupt Sports World — Will this affect the Athletes?
With all the money flying around the NFT market, it’s no wonder that the professional sports have taken notice.
The rise of NFTs toward the mainstream has created a lot of space for new markets to come. In many ways, due to the craze surrounding NFTs right now, they can function as a viable marketing platform. Similar to teams selling merchandise, trading cards or memorabilia, NFTs function as another e-commerce option.
The big difference is the absence of limitations and potential for creativity that NFTs offer. The driving factor in bringing NFTs to the sports world has been the athletes themselves.
Professional athletes have a history of creating brands around their names and, basically, serving as their own media platforms. NFTs are a perfect way for individual players to market themselves via a trending platform and make a buck.
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Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.