Nike to debut its own platform for web3 wearables

Sports brand Nike already is one of the most successful brands in web3. Now, it's going to promote virtual shoes and other items on its own platform.

Currently in beta but expected to launch its first digital collection next year, .Swoosh (pronounced “dot swoosh”) will let Nike fans to collect and even co-create virtual items with the company.

Community members will "soon" be able to wear the items in digital games and immersive experiences, according to a company statement. 

“We are shaping a marketplace of the future with an accessible platform for the web3-curious. In this new space, the .Swoosh community and Nike can create, share and benefit together,” said Ron Faris, GM of Nike Virtual Studios.

So far, Nike’s bet on web3 has paid off.

It launched an experience in November 2021 on the ever more brand-crowded gaming platform Roblox, attracting more than 26 million visits to date. The following month it acquired NFT studio RTFKT and has been pumping out collections ever since.

Among them, the Cryptokicks collection of 20,000 virtual sneakers included one NFT that sold for $134,000.

Nike has earned a total of $185 million in NFT revenue, according to data published on Dune Analytics. Of that, $93 million came from primary sales revenue and $92 million from royalties. 

The numbers alone make other metaverse-keen brands pale in comparison. Dolce & Gabbana has raked in NFT revenues of $24 million, while Tiffany has earned $13 million. 

But the same data set also suggests Nike has been impacted by both the bear market and the rise of optional royalties. Revenue has plummeted from the highs it enjoyed prior to its peak in April 2022. 

Source: Kingjames23 via Dune.

Nike's top offering, the popular CloneX NFT collection, accounts for a large proportion of RTKFT's NFT revenues, making up 64% of royalty income as of Nov. 1. 

Source: Kingjames23 via Dune.