Europe and the NFT market
Prada and Adidas are not the first major European brands to enter the NFT space. Other major brands include Gucci and Louis Vuitton.
RTFKT, formed in 2020, has certainly influenced fashion houses and sports brands to enter the space. RTFKT creates digital collectibles and sneakers. RTFKT’s success was such that Nike acquired RTFXT at the end of last year.
Gucci was among the first fashion houses to enter the NFT space. Last year, Gucci sold a 4-minute video at Christie’s auction for $25 million. Proceeds from the sale were reportedly donated to UNICEF USA to support the non-profit initiative COVAX.
Following the COVID-19 pandemic, Paris Fashion Week went NFT last year. Not only has fashion embraced NFTs, they are now selling products as NFTs. RTFKT and Gucci sold digital sneakers on the NFT market. Other big names selling virtual items have included Stella McCartney and Nike. Valentino, Burberry, Balenciaga and Hermès are other big names that have also entered the virtual world.
The Adidas Prada Collab
This week, Adidas and Prada announced a “first open-Metaverse and user-generated NFT project”. The project will be on the Polygon (MATIC) blockchain and is titled “Adidas for Prada resource”.
According to the announcement, 3,000 artworks from the community will be minted as NFTs. The NFTs will form tiles in a “mass patchwork NFT”, which will be designed by Zach Lieberman. The SuperRare NFT Marketplace (RARE) will auction the final NFT.
From Monday 24and January, “anyone can register with a digital wallet and have the ability to create and create a pseudonymous NFT”. The selected contributions will then appear as individual tiles in the final”Mass patchwork NFT”.
Polygon Price Action
At the time of writing, MATIC was up 0.35% at $1.708. This morning’s modest rise follows a 13.2% drop on Friday. Market sentiment towards the FED’s monetary policy and a global equity selloff weighed on crypto markets on Friday, leaving MATIC in the deep red.
Well below November’s $2.925 ATH, a return to the January high of $2.603 would give MATIC a run to $3.00. However, the sentiment across the broader market would have to change for MATIC to break through the resistance at $2.00.