Brands are using non-fungible tokens (NFTs) in a variety of ways. Many exploit their promotion and advertising potential. Some use them as a reward token and others – like sports clubs – sell NFT licensing rights. But for certain brands, especially those in the luxury and clothing sectors, NFTs could become a significant source of revenue in the future as the metaverse takes off.
An NFT brand case study was recently released on crypto analytics site Dune, examining the performance of NFTs of large brands on the Ethereum network. In terms of total revenue, Nike tops the list at $185.32m, followed by Dolce & Gabbana and Tiffany at $25.65m and $12.62m, respectively.
The reason for Nike raking in far more than the other brands is its acquisition of the RTFKT NFT firm, which already had a track record and the CloneX collection, which accounts for more than 40% of Nike’s royalties.
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