By CCN: In one of the most exciting cryptocurrency developments of the year, clothing behemoth Nike looks poised to dive into the world of crypto. Perhaps buoyed by the strong performance of Bitcoin, the athletic apparel manufacturer filed a trademark to create a digital currency…
By CCN: In one of the most exciting cryptocurrency developments of the year, clothing behemoth Nike looks poised to dive into the world of crypto. Perhaps buoyed by the strong performance of Bitcoin, the athletic apparel manufacturer filed a trademark to create a digital currency called “CryptoKicks.”
Will Nike beat Facebook’s coin to market and steal a bit of thunder from Mark Zuckerberg?
For blockchain purists, the most compelling aspect of this filing is that CryptoKicks is more than just a new shoe model. Nike appears to be gearing up to launch an actual digital currency.
“Financial services, namely, providing a digital currency or digital token for use by members of an online community via a global computer network; facilitation of financial transactions using unconventional currency systems and bartering, namely.”
Naturally, there is going to be some use of this trademark for more frivolous means. Nike’s ambition appears to be to build an online brand around this name, with all manner of games, collectibles, and ways to reward loyal fans.
“Provision of online blogs in the field of crypto-collectibles; entertainment services, namely, providing an online computer games… curated scavenger hunts, obstacle courses or treasure hunts; entertainment services, namely, providing interactive online mobile gaming applications; providing information on-line relating to crypto-collectible customization for hobby or entertainment purposes”
Facebook’s proposed token has been attracting a lot of attention, but Nike’s CryptoKicks will probably garner even more.
The world has many crazed collectors of rare shoes – imagine if you have to purchase them in CKs? It would force demand into the token. It’s easy to see tremendous upside for Nike as the community is guaranteed to be there. Facebook lost the support of digital currency users the moment the privacy issues become public; a cryptocurrency token is unlikely to win them back.
When filing a trademark, you tend to cast a wide net to ensure you don’t get blindsided. Assuming Nike’s plans are as ambitious as they appear, this has all the makings of a genius move. They know they can force guys like DJ Khaled to dump thousands of dollars into CryptoKicks to buy rare collectibles.
The stability of Bitcoin has made projects like Nike’s CryptoKicks more viable, as the extended period of low volatility that preceded the most recent bull run increased confidence that the risk of collapse has receded.
If Nike’s digital token is a success, we could ultimately be witnessing the birth of the future of brand interaction, particularly in fashion and sports apparel.
CCN reached out to Nike for comment but had not heard back by press time.
Last modified: January 10, 2020 3:09 PM UTC