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The Nike-owned company received investment funding from Andreessen Horowitz during the peak of NFT summer in 2021.
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RTFKT, the creators of non-fungible token (NFT) virtual sneakers acquired by Nike in 2021, has announced it will sunset operations in January 2025.
“To honor and preserve this pioneering legacy, we will be launching an updated website that showcases the groundbreaking work that defined the RTFKT journey,” it said in a Dec. 2 X post.
RTFKT said it will release one more collection featuring “BLADE DROP” before winding down as a “testament to our commitment to pushing boundaries and merging worlds,” adding:
“RTFKT isn’t ending. It’s becoming what it was always meant to be — an Artifact of cultural revolution.”
Source: RTFKT
RTFKT launched in 2020 and later raised at least $8 million from investors, including Andreessen Horowitz. Nike acquired the NFT company in December 2021 — at the peak of NFT summer.
The acquisition was part of Nike’s grand plans to expand its presence in the metaverse to serve athletes and creators at the “intersection of sport, creativity, gaming and culture.”
Cointelegraph reached out to Nike for comment but didn’t receive an immediate response.
In June, the shoe company forecasted a drop in fiscal revenue for the coming year, citing “faltering demand” for its sneakers.
RTFKT has brought in nearly $50 million in earnings since it launched, including over $45 million in royalties, making it the ninth-most among NFT projects, DefiLlama data shows.
RTFKT’s MNLTH and CloneX Mintvial collectibles have been its two most successful drops with $16.4 million and $13.9 million royalty earnings, respectively, with the bulk of those earnings made during the 2021-2022 NFT summer.
Related: Celebrating the best in NFT with Jason Derulo: Moments from award ceremony
The closure comes as NFTs recorded $562 million in sales in November — marking a six-month high, CryptoSlam data shows.
Year-to-date NFT sales are closing in on $9.9 billion — which is already higher than 2023’s tally but far short of the $15.7 billion and $23.7 billion seen in 2021 and 2022.
Key NFT metrics year-on-year since 2017. Source: CryptoSlam
Magazine: 110M Doodles coffee cups appear at McDonald’s across the US: NFT Collector
This article first appeared at Cointelegraph.com News
