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Nike’s NFT Division, RTFKT, Announces Closure

The creators of RTFKT, the NFT virtual sneaker brand acquired by Nike in 2021, have announced they will cease operations in January 2025.

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The creators of RTFKT, the NFT virtual sneaker brand acquired by Nike in 2021, have announced they will cease operations in January 2025. In a post on the X platform, representatives stated that a revamped website would be launched to preserve the brand’s legacy and its contribution to the cultural revolution.

Before closing, RTFKT will release a final collection called BLADE DROP. The company emphasized that the brand will become an "artifact of the cultural revolution" rather than a fully functioning project.

History and Achievements

RTFKT was founded in 2020 and quickly attracted investments, including $8 million from venture fund a16z. In December 2021, Nike acquired the brand amidst the rising popularity of NFTs, aiming to expand its presence in the metaverse and merge sports, gaming, and culture.

During its run, RTFKT generated nearly $50 million in revenue, with over $45 million coming from royalties. Its most successful collections were MNLTH and CloneX Mintvial, which brought in $16.4 million and $13.9 million, respectively. Most of these earnings were made during the peak of the NFT boom in 2021–2022.

Nike has not commented on the decision to close RTFKT. However, the company had previously forecast a decline in revenues amid falling demand for sneakers, which experts believe could be a factor in shutting down the project.

RTFKT's closure comes as interest in NFTs is resurging. In November, experts recorded a significant 57% increase in industry sales compared to October. Excluding December, the total sales volume reached $9.9 billion. Although this surpasses 2023 levels, it still falls short of the record $15.7 billion and $23.7 billion seen in 2021 and 2022.

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