OneOf positions itself as a green NFT platform that uses energy-efficient blockchains and partners with music artists, athletes and lifestyle brands. It has collaborated with the Grammys, Warner Music, Sports Illustrated, Gatorade and eBay, amongst others. It is thus no surprise that the platform’s existing investors include heavyweights like Galaxy Digital and the Tezos blockchain.
Amex’s backing of the platform is significant as it suggests that the card company is angling to get involved with NFTs. It is not a stranger to blockchain technology, having invested in FalconX, Abra and TRM Labs.
Furthermore, some predict that the future primary use of NFTs will be a means to promote brand loyalty. Given that Amex has a particular focus on loyalty programs – it even piloted a blockchain rewards system – this venture into NFTs is very fitting for the company’s Web3 strategy and its future in the metaverse. In 2021, the Amex card member reward program cost $11 billion, a third of the company’s total expenses.
“We believe that the investment in OneOf will help American Express stay close to the developments in NFT-powered commerce and lead to the development of new customer engagement models for our Card Members,” said Margaret Lim, Managing Director of Amex Ventures.
Amex is not the first card company to embrace the crypto space. Mastercard has partnered with seven NFT platforms and offers consulting services for crypto and digital assets. Visa bought a CryptoPunk NFT for $150,000 and has a crypto advisory practice. Clearly, card companies are scaling up their engagement in the NFT sector.