Latest news with #RTFKT
Yahoo
01-05-2025
- Business
- Yahoo
The NFT market fell apart. Brands are still paying the price
The NFT market crash has a long tail. Big Lots stores reopening update: Here's the full list of locations that will open this week The kerning on the pope's tomb is a travesty Joann fabrics store closing dates: Here's the full list of locations that will close for good this week In the late 2010s, crypto enthusiasts and web3 advocates celebrated the arrival of digital art. Non-Fungible Tokens, they argued, could offer the permanence and investment value of a traditional painting. Not anymore: even amid President Trump's memecoin surge, NFT valuations continue to hit new lows. The market has been in free fall for nearly two years, with no bottom in sight. While NFTs may be dead, NFT lawsuits are alive and well. Corporate suppliers are beginning to regret their blockchain experiments. Most recently, buyers of Nike's NFTs sued the retailer for $5 million. Nike had acquired the virtual sneaker shop RTFKT in 2021, generating nearly $200 million in NFT sales. But in 2024, Nike began winding the operation down. The lawsuit alleges that the shutdown destroyed demand for RTFKT's NFTs, effectively causing 'the rug to be pulled out from under' buyers, according to Reuters. Some RTFKT NFTs even briefly displayed error messages during the turmoil. The online sportsbook DraftKings also ventured into the NFT space, only to shut down its Reignmakers NFT marketplace in July 2024. Meanwhile, a 2023 lawsuit alleged that DraftKings sold NFTs as unlicensed securities, reaping 'the full benefit' of initial sales and a 5% commission on secondary sales. That case has since been settled, with DraftKings agreeing to pay out $10 million in February to those who purchased NFTs between 2021 and the shutdown. NFT buyers have also gone after the celebrities who hawked their fast-declining digital assets. Shaquille O'Neal's 2023 lawsuit recently concluded, with the former NBA player agreeing to pay out $11 million (plus $2.9 million in attorney's fees) to buyers of his Astrals Project NFTs. Meanwhile, the MAGA-friendly Nelk Boys are still battling their own lawsuit, which claims the YouTubers promised additional perks with their NFT sales that were never fulfilled. For corporations and celebrities, NFTs were a side business. But for companies dedicated solely to producing digital assets, these lawsuits are far more threatening. Dapper Labs—which partners with companies like Disney and the NFL to build branded NFTs—recently settled for $4 million over claims that its NBA Top Shot 'moments' were unregistered securities. Yuga Labs, meanwhile, has been stuck in court for years fighting copyright battles over its Bored Ape Yacht Club. Recently, it even petitioned for access to a copying artist's crypto wallet. Just a few years ago, major companies from Nike to Coca-Cola were racing to launch web3 ventures. Some are still ongoing; many have flamed out. And with the barrage of lawsuits now hitting NFT suppliers, these blockchain bets are looking increasingly risky. They may also fail to deliver value. NFTs were meant to serve as brand extensions—especially for luxury companies, which sold highly expensive goods in digital form. But according to a recent study in the Journal of the Association for Consumer Research, NFT availability may actually have a negative effect on consumer sentiment. The researchers found that for goods with web3 iterations, the physical counterparts were perceived as less luxurious—and thus less worth spending on. NFTs have lost their value to major companies. They're not effective brand extensions, they're not sustainable investments, and they're barely even good cash grabs anymore. All they're left with is a mess of lawsuits. This post originally appeared at to get the Fast Company newsletter: Sign in to access your portfolio
Associated Press
30-04-2025
- Business
- Associated Press
ROSEN, SKILLED INVESTOR COUNSEL, Encourages Purchasers of Nike NFTs Issued by RTFKT, Inc. to Inquire About Class Action Investigation
New York, New York--(Newsfile Corp. - April 30, 2025) - WHY: Rosen Law Firm, a global investor rights law firm, continues to investigate potential state and federal law claims on behalf of purchasers of Nike-themed non-fungible tokens ('NFTs'), crypto collectibles, or other crypto assets ('The Nike NFTs') issued by RTFKT, Inc. SO WHAT: If you purchased Nike NFTs issued by RTFKT, Inc., you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrangement. The Rosen Law Firm is preparing a class action seeking recovery of investor losses. WHAT TO DO NEXT: To join the prospective class action, go to call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action. WHAT IS THIS ABOUT: On December 2, 2024, RTFKT announced on the platform X, its plan to wind down RTFKT operations, injuring investors holding NFTs promoted by Nike. WHY ROSEN LAW: We encourage investors to select qualified counsel with a track record of success in leadership roles. Often, firms issuing notices do not have comparable experience, resources, or any meaningful peer recognition. Many of these firms do not actually litigate securities class actions. Be wise in selecting counsel. The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation. Rosen Law Firm achieved the largest ever securities class action settlement against a Chinese Company at the time. Rosen Law Firm was Ranked No. 1 by ISS Securities Class Action Services for number of securities class action settlements in 2017. The firm has been ranked in the top 4 each year since 2013 and has recovered hundreds of millions of dollars for investors. In 2019 alone the firm secured over $438 million for investors. In 2020, founding partner Laurence Rosen was named by law360 as a Titan of Plaintiffs' Bar. Many of the firm's attorneys have been recognized by Lawdragon and Super Lawyers. Follow us for updates on LinkedIn: on Twitter: or on Facebook: Attorney Advertising. Prior results do not guarantee a similar outcome. ------------------------------- Contact Information: Laurence Rosen, Esq. Phillip Kim, Esq. The Rosen Law Firm, P.A. 275 Madison Avenue, 40th Floor New York, NY 10016 Tel: (212) 686-1060 Toll Free: (866) 767-3653 Fax: (212) 202-3827 [email protected] To view the source version of this press release, please visit
Associated Press
30-04-2025
- Business
- Associated Press
ROSEN, LEADING TRIAL ATTORNEYS, Encourages Purchasers of Nike NFTs Issued by RTFKT, Inc. to Inquire About Class Action Investigation
New York, New York--(Newsfile Corp. - April 29, 2025) - WHY: Rosen Law Firm, a global investor rights law firm, continues to investigate potential state and federal law claims on behalf of purchasers of Nike-themed non-fungible tokens ('NFTs'), crypto collectibles, or other crypto assets ('The Nike NFTs') issued by RTFKT, Inc. SO WHAT: If you purchased Nike NFTs issued by RTFKT, Inc., you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrangement. The Rosen Law Firm is preparing a class action seeking recovery of investor losses. WHAT TO DO NEXT: To join the prospective class action, go to call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action. WHAT IS THIS ABOUT: On December 2, 2024, RTFKT announced on the platform X, its plan to wind down RTFKT operations, injuring investors holding NFTs promoted by Nike. WHY ROSEN LAW: We encourage investors to select qualified counsel with a track record of success in leadership roles. Often, firms issuing notices do not have comparable experience, resources, or any meaningful peer recognition. Many of these firms do not actually litigate securities class actions. Be wise in selecting counsel. The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation. Rosen Law Firm achieved the largest ever securities class action settlement against a Chinese Company at the time. Rosen Law Firm was Ranked No. 1 by ISS Securities Class Action Services for number of securities class action settlements in 2017. The firm has been ranked in the top 4 each year since 2013 and has recovered hundreds of millions of dollars for investors. In 2019 alone the firm secured over $438 million for investors. In 2020, founding partner Laurence Rosen was named by law360 as a Titan of Plaintiffs' Bar. Many of the firm's attorneys have been recognized by Lawdragon and Super Lawyers. Follow us for updates on LinkedIn: on Twitter: or on Facebook: Attorney Advertising. Prior results do not guarantee a similar outcome. ------------------------------- Contact Information: Laurence Rosen, Esq. Phillip Kim, Esq. The Rosen Law Firm, P.A. 275 Madison Avenue, 40th Floor New York, NY 10016 Tel: (212) 686-1060 Toll Free: (866) 767-3653 Fax: (212) 202-3827 [email protected] To view the source version of this press release, please visit
Forbes
29-04-2025
- Business
- Forbes
Nike, Starbucks And Co Exit NFTs But Crypto-Natives Remain Put
Nike is facing a $5 million lawsuit from a group of people who bought its Nike-themed non-fungible tokens. The report follows the global footwear and apparel giant's closure of its RTFKT (pronounced artifact) unit in December 2024. It comes at a time when NFT transaction volumes have fallen to record lows despite the recent resurgence in the crypto market. A handful of other mainstream brands and crypto companies have also closed their NFT projects including Starbucks and DraftKings, while X2Y2, at some point was one of the biggest NFT marketplaces said it is pivoting to crypto AI. However, not all believe that the current state of the NFT market spells curtains for the industry, with Solana-based decentralized exchange platform Jupiter consolidating its strategy for the crypto industry with the acquisition of digital collectibles platform DRiP Haus. The NFT market fell 24% in the first quarter of 2025 to $1.5 billion compared to the preceding quarter, according to a DappRadar report. However, the number of sales was down 10%, implying a substantial decline in the average price for NFTs sold versus the quantity. The $1.5 billion trading volume recorded between January and March 2025 is just a fraction of the $5.7 billion recorded for the final week of January 2022, when the industry was at its peak, as per Token Terminal data. The Token Terminal also shows that whilst NFT trading volume fell by 24% in the most recent quarter compared to Q4 2024, there was a significant improvement over the past two quarters when compared to the preceding two. That surge was linked to the general positivity surrounding the crypto market in the wake of President Trump's election. But even such optimism could not prevent Nike from implementing its previously rumored course of action of shutting down RTFKT. In December, RTFKT announced via Musk's X platform that it was winding down its NFT business. In January, the company concluded its creative journey with the launch of the MNLTH X Blade Drop, released in collaboration with the 3D-printing footwear manufacturer Zellerfeld. Last week, images of CloneX NFTs on the NFT marketplace OpenSea temporarily disappeared after Cloudflare downgraded the account responsible for serving the files. The CloneX NFT collection is one of the biggest by sales volume on RTFKT's portfolio with 470,434.88 ETH, according to CoinMarketCap data. At the peak of the NFT boom, Nike was reported to be the best-performing mainstream brand in the industry, generating $185 million from NFT sales as of June 2022. Just over two and a half years down the line, and nearly four months after news that RTFKT was shutting down, the company is now facing a $5 million lawsuit from a group of people who purchased its NFTs. In the class action filed in Brooklyn, New York federal court on Friday, the purchasers claim the closure of Nike's RTFKT platform caused the demand for their NFTs to dry up, Reuters reported. Nike is not the only mainstream brand that is moving away from NFTs. In March 2024, Starbucks officially closed its NFT royalty program. In the preceding month, Gamestop also closed its NFT marketplace, just months after removing support for its NFT wallet. In both cases, Gamestop pointed to continuing regulatory uncertainty in the crypto industry. Last month, NFT marketplace X2Y2, which once was among the biggest platforms by transaction volume also said it is closing its NFT business to focus on decentralized artificial intelligence. The company pointed to the declining NFT transaction activity as the main reason for its decision. The company said NFT trading volume had fallen 90% from its all-time highs. While some of the biggest brands seem to be retreating from NFTs, some crypto-native companies have chosen to stay, and are now, consolidating their positions in the space. Earlier this month, Solana DEX platform Jupiter said it is acquiring digital collectibles platform DRiP Haus, as part of a broader strategy of upgrading the platform into a 'super app'. Web3 super apps are decentralized applications that offer different services within a single platform, including token trading, NFTs, payments and cryptocurrency swaps. 'We don't believe it,' Jupiter's Kash Dhanda told CoinDesk about claims that NFTs are dead. 'We think NFTs are here for the long term.' Other NFT projects like Pudgy Penguins and Doodles have shown what could be the next evolution of NFTs, by expanding their their strategy into gaming and launching tokens. While PFP NFTs still dominate sales with about 56% of volume, as per DappRadar, sales have been falling more drastically compared to gaming NFTs, which are second in transaction activity. Last October, Pudgy Penguins announced it is developing a AAA blockchain game 'Pudgy Party' set to debut on iOS and Android in 2025. The company also launched the PENGU token, with 25.9% distributed to the Pudgy community, which includes Pudgy Penguins, Lil Pudgys, and Pudgy Rods NFT holders. In February this year, Doodles also announced it is launching a Solana-based token, DOOD, as part of an expanded NFT strategy that positions the brand as an entertainment company focused on immersive storytelling. The token will later launch on Coinbase's Ethereum layer-2 blockchain Base.
Yahoo
28-04-2025
- Business
- Yahoo
US stock futures lower ahead of one of the busiest weeks of earnings season
U.S. stock futures point to a lower open as investors brace for one of the busiest weeks of earnings season. More than a third of S&P 500 companies representing more than 40% of the broad market index's market value will report quarterly earnings this week. Four of the so-called Magnificent Seven of the largest and most influential companies in the U.S. stock market are among them. They are Amazon, Apple, Facebook parent Meta and Microsoft. Some investors are hopeful after Google-parent Alphabet topped analysts' forecasts last week. Other heavyweights include Coca-Cola, Visa, Pfizer, Eli Lilly and General Motors. Even if companies' quarterly reports beat Street forecasts, investors will be looking at guidance and comments that might offer hints as to how corporations and consumers are reacting to tariff uncertainty, Last week, American Airlines, Southwest, and Alaska Air all pulled earnings guidance and United offered two versions -- one for a good economy, one for a bad one. "This is a sign that flight bookings show consumers are not only talking down the economy like they did in 2022 and 2023, they're acting on their bad vibes, too," said Bill Adams, chief economist at Comerica Bank. "I'm not aware of a public statistical indicator of airline flight bookings. But if there was one it would likely be one of the best cyclical indicators of U.S. consumer spending." At 6 a.m. ET, futures linked to the blue-chip Dow added 0.04%, S&P 500 futures slipped -0.04% and tech-laden Nasdaq futures were flat. The week will be capped off by the key monthly jobs report. Nike is being sued for suddenly closing its non-fungible token (NFT) business in December, according to Reuters. In a proposed class action filed in Brooklyn, New York federal court, purchasers said the sudden closure of Nike's RTFKT caused demand for their NFTs to dry up and they experienced significant losses. Purchasers said they would never have bought the NFTs at the prices they did, or at all, had they known the tokens were unregistered securities, and that Nike would "cause the rug to be pulled out from under them," Reuters reported. Medora Lee is a money, markets, and personal finance reporter at USA TODAY. You can reach her at mjlee@ and subscribe to our free Daily Money newsletter for personal finance tips and business news every Monday through Friday morning. This article originally appeared on USA TODAY: US stock futures lower ahead of one of the busiest weeks of earnings season Sign in to access your portfolio
