Gucci

Dune Analytics has released data that illustrates the true revenue-earning potential of NFTs for prominent lifestyle labels, with Nike and Gucci alone reportedly raking in approximately US$260 million in sales between them.

Fashion and leisure brands Dolce & Gabbana, Adidas, Tiffany, Nike and Gucci are reportedly reaping the rewards of their NFT seeds, following the release of new NFT revenue data showing the total NFT revenue for 13 companies. Nike sits at the top of the board with a whopping US$185 million:

Nike's NFT-related projects have made over $185M in revenue, positioning it as the biggest earning brand from NFTs.@DuneAnalytics dashboard by @nlevine19. pic.twitter.com/UDD90kz8Af
— NFTgators 🐊 (@NFTgators) August 22, 2022

According to the data, Nike has generated almost US$1.3 billion in transaction volume from secondary NFT trading, which adds to its primary sales (US$93 million) and generated royalties ($92 million). Nike has more than 14 collections under its belt that are working to generate these funds, with a significant portion of these (such as CloneX) attributed to the company’s recent acquisition of RTFKT. This has enabled Nike to make 6,362 ETH in the past month alone, despite the crypto winter.

While many of the companies on this list seek to purely optimise ‘revenue per user’ through NFT drops and merchandise, others are using NFTs as an opportunity to establish deeper connections with their fans. Regardless of the motivation behind corporate involvement, the proof is in the pudding when it comes to the ongoing influence NFTs have on profits.

Almost $3B Spent on Minting in 2022

Not only has an extreme amount of money been spent on the purchase of NFTs, but also on the minting of them. A recent report from blockchain analytics platform Nansen found that NFT fans have spent US$2.7 billion solely on the minting of art in 2022 so far. The findings were based on product activity from over 1 million unique wallet addresses.

However, just a week ago a lengthy list of celebrities found themselves in hot water with US consumer watchdog group Truth in Advertising. The group sent warning letters to 19 celebrities, including socialite Paris Hilton and pop star Justin Bieber, regarding the alleged shilling of NFTs via social media.

Step Inside the Gucci Vault

The announcement accompanies a February 10 Twitter post introducing the Gucci Vault, which Gucci describes as an experimental space and is the brainchild of the company’s creative director, Alessandro Michele. Fans have already responded positively to Gucci’s corporate metaverse involvement:

Gucci is ahead of the curve in metaverse, making splashes and ripples.@LouisVuitton @Hermes_Paris @Prada
Guys let’s join in the fun in Sandbox, what are you waiting for?@TheSandboxGame
— SteveC (@stevechoy666) February 9, 2022

In a blatant pitch to Gen Z, The Sandbox has stated that Gucci’s new endeavour is “inspired by childhood memories” and hopes to stimulate the conversation surrounding the metaverse and the designer fashion industry’s future. The company’s plans to enter the metaverse follow its mid-2021 release of a non-fungible token (NFT) collection.

The Gucci Vault Instagram account is up and running and while its posts remain cryptic, it is said that the project will also be a means for Gucci to sell vintage pieces alongside those from other notable designers. If you’d like to learn more about the Gucci Vault, the official Discord channel is now live.

Sandbox Moves from Strength to Strength

Gucci is not The Sandbox’s first partnership. The Ethereum-based game announced a collaboration last month with Warner Bros to launch the first music-themed metaverse. Purchasing lands within the game will allow the company to develop a musical theme park and concert venue.

https://www.sandbox.game/en/about/land/ — The Sandbox lands description. Source: The Sandbox

The Sandbox token (SAND) skyrocketed at the end of 2021 as Facebook’s announcement of its rebranding to Meta had a butterfly effect on the industry. While the price of SAND is currently sitting at around A$6.25, further brand involvement could see it continue to rise.

By Lauren Claxton, Crypto News Guest Author