NIKE's RTFKT will cease operations
Sneaker brand giant NIKE acquired NFT developer RTFKT during the last wave of NFT bull market craze. However, after a bull-bear period, RTFKT suddenly announced this morning (12/3) that it would cease operations by the end of January 2025, triggering heated discussions among NFT holders.
An official statement said that despite ceasing operations, RTFKT is not over but is becoming what it was, a product of the cultural revolution.
To protect and preserve its groundbreaking legacy, RTFKT will launch a new website showcasing the pioneering work that defined RTFKT’s journey, and will also launch the final product in the series, “BLADE DROP”, as a symbol of commitment to pushing boundaries and integrating the world. .
Source: RTFKT Twitter NIKE’s NFT brand RTFKT announced that it will cease operations
Netizens had mixed reactions to this. A netizen turned on the mocking mode and complained about another Web3 project that has directly evolved from "revolution" to "extinction".
Another netizen had a positive attitude towards RTFKT’s decision, believing that they could have soft Rug (Soft Rug) and let the project gradually die out, but they still chose to announce it publicly and let RTFKT become part of NFT history.
Some netizens are worried that the suspension of RTFKT operations will affect another NFT project (CloneX) owned by NIKE, and its floor price has indeed been affected.
(CloneX) is another popular NFT series launched by RTFKT, which was hailed as the "NFT blue chip" during the last wave of NFT bull market. However, after RTFKT issued a statement, the floor price of (CloneX) fell by more than 40% and once fell below 0.3 Ethereum coins ($ETH). It is currently back to 0.35 $ETH.
Source: Blur NFT trading market Blur NFT trading market: CloneX NFT price data
RTFKT: Once blue-chip manufacturer dies
RTFKT was officially established in 2020 and is mainly engaged in the development of 3D virtual shoes and NFT.
During the NFT bull market in 2021, RTFKT rose rapidly, and its projects such as (MNLTH) and (CloneX) series have achieved high sales and royalty income.
In December 2021, NIKE announced the acquisition of RTFKT as an important layout to enter the metaverse and NFT fields. NIKE stated that the acquisition is to serve athletes and creators, and to connect the intersection of sports, creativity, games and culture.
Further reading: From virtual shoes to Gen Z fashion brand! Understand the brief history of RTFKT development in one article
However, after cryptocurrencies ushered in a bear market in 2022, the NFT market also suffered a severe blow.
(Cointelegraph) reported that RTFKT’s total revenue was approximately $50 million, but as the NFT craze subsided, related businesses were also greatly affected. In addition, NIKE itself is also facing a sales decline and has to adjust its investment strategy in emerging fields. This may be the main reason why RTFKT ceased operations.
Source: RTFKTRTFKT’s well-known NFT (CloneX) series
RTFKT holders express confusion when exiting NFT resurgence
However, it seems that there are still many problems to be solved before RTFKT ceases operations.
Some netizens are curious, how will the royalties from RTFKT’s NFTs that are still circulating in the market be handled? In addition, the statement did not mention the subsequent processing of (INVTRY) and (CloneX), leaving holders very confused.
Another netizen expressed his support and nostalgia for RTFKT, hoping that RTFKT could reconsider this decision, because it is now the eve of a new bull market in the NFT market. In the past week, the NFT market has shown signs of recovery. (Boring Ape), (CryptoPunks), and (Pudgy Penguins) have all seen increases between 17% and 80%, and some projects have even increased by 2 to 3 times.
He believes that the RTFKT team has made a great contribution in promoting the NFT industry and believes that they can find a way to balance consumer needs and technological innovation.
Source: CoinGecko The NFT market has shown signs of recovery in the past week
"CloneX plummeted 40%! RTFKT, a subsidiary of NIKE, has ended its operations. Why did the former blue chip disappear? 』This article was first published in "CryptoCity"
