Basketball and Blockchain: A Modern Partnership

Dapper Labs Partners with the NBA

A blockchain-based company called Dapper Labs has partnered with the NBA. Now fans can purchase highly sought-after sports memorabilia…with blockchain technology.

The new memorabilia platform is called NBA TopShot. The highlight videos on the platform are called “moments,” which can be bought and sold much like physical trading cards.

Background on Dapper Labs

NBA TopShot is a collaboration between the NBA and Dapper Labs, the same company that was responsible for the CryptoKitties craze in 2017. CryptoKitties was heralded as the first blockchain-based entertainment game. On the Ethereum platform, users could buy and breed “crypto-pets” in exchange for the cryptocurrency. The game is now known for its surge in popularity, which took up a large amount of available transaction space on the Ethereum platform and slowed down business transactions.

Dapper Labs said the launch of CryptoKitties convinced the firm that blockchain transactions would be the future of the collectibles exchange. “We thought this would be the killer app that would bring people to the blockchain. We just needed to find a partner at the scale of the NBA that would let us do a first of its kind product and one that would last 100 years if we do our job right,” said Roham Gharegozlou, CEO of Dapper Labs.

TopShot Sees Traffic Increase

Highlight videos of LeBron James dunking on Nemanja Bjelica or Ja Morant dunking on Aron Baynes on NBA TopShot are currently trending at around $20,000. In the past week, the platform said it has processed transactions worth over $1.3 million. Dapper Labs said a Christmas Day game pack sold out in less than a minute. Traffic has been steadily growing, and the TopShot marketplace has seen over $10 million in transactions since its launch in May.

The early success of NBA TopShot could mean that more platforms of its kind will be created in the near future. Many analysts say they now consider crypto-based transactions to be the most modern and secure way to do business.

Please understand that this information provided is general in nature and shouldn’t be construed as a recommendation or solicitation of any products offered by SoFi’s affiliates and subsidiaries. In addition, this information is by no means meant to provide investment or financial advice, nor is it intended to serve as the basis for any investment decision or recommendation to buy or sell any asset. Keep in mind that investing involves risk, and past performance of an asset never guarantees future results or returns. It’s important for investors to consider their specific financial needs, goals, and risk profile before making an investment decision.
The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. These links are provided for informational purposes and should not be viewed as an endorsement. No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this content.
Communication of SoFi Wealth LLC an SEC Registered Investment Advisor
SoFi isn’t recommending and is not affiliated with the brands or companies displayed. Brands displayed neither endorse or sponsor this article. Third party trademarks and service marks referenced are property of their respective owners.
SOSS21012201