Non-fungible tokens (NFTs) are a golden money-making opportunity for the sports industry and also a great way for sports fans to engage with their favorite teams, athletes and historical moments...
People have always loved to own sports collectibles and NFTs are now offering a new digitized way of doing it. A recent report by Deloitte said that Up to five million sports fans will purchase or be gifted an NFT in 2022, according to study and limited edition video clips and player cards to be most common and lucrative.
The study projected that the value of non-fungible token transactions will double next year (2022). The report said: "Non-fungible tokens (NFTs) for sports media will generate more than US$2 billion in transactions in 2022, about double the figure for (2021). The professional services firm predicts that by the end of 2022, four to five million sports fans globally will have purchased or been gifted an NFT sports collectible. Deloitte adds that interest in sports NFTs is likely to be encouraged by activity in the wider NFT market, including that for digital art, which has seen its top five most valuable sales generate more than US$100 million by August 2021."
Active Companies in the markets today include OOOOO Entertainment Commerce Limited (OTCQB: OOOOF) (TSX-V: OOOO), Funko, Inc. (NASDAQ: FNKO), Hut 8 Mining Corp. (NASDAQ: HUT) (TSX: HUT), Ebang International Holdings Inc. (NASDAQ: EBON), Marathon Digital Holdings, Inc. (NASDAQ: MARA).
The study continued: "According to the study, the most common and lucrative application of NFTs in the sports industry will likely be the sale of limited edition video clips of sporting moments or player cards. The value of each NFT will depend on the prominence of the athlete, the significance of the event, any additional content included within the NFT, and demand. Deloitte also expects platforms and rights creators to continue testing different ownership models to determine the optimal balance of fuelling consumer demand and maintaining intellectual property rights (IPR) that respect existing third-party rights over the underlying digital assets."
