There is a study from Market Decipher that suggests that the Sports NFT market grew at a compound annual growth rate (CAGR) of 36.3% from $1.3 billion to $2.6 billion in 2022 and will reach $41.6 billion by 2032.
It is through such NFTs that fans are able to acquire rights to their favorite sports moments through the acquisition of NFTs of such video clips. There have been rapid changes in the physical to digital movement when it comes to trading cards, which are already a huge market share holder in the sports memorabilia market.
What Does it Give Us?
With the current demand for NFTs overwhelmingly concentrated in the U.S., the NFTs will provide athletes, leagues, and teams with a new source of revenue.
A number of Various Various different blockchain companies are now providing teams and athletes with the ability to create their own sports NFT marketplace, which puts the industry at an advantage.
There is a short lifespan for physical collectibles, such as trading cards, as they can be lost or destroyed during the course of their life. In turn, this has boosted the market for NFT cards in a huge way.
There is no doubt that trading cards are gaining momentum in the NFT industry. The NFTs were collected by sports enthusiasts as a hobby, and others collected them as a means of reselling them for higher prices to businesses.
Players’ accessories/memorabilia like T-shirts, watches, and watches, are among the most popular items available in this industry.
There is a high demand for these unique collectibles right now, which is why many people attempt to purchase them through offline auctions in order to secure them in the near future. In order to gain a steady market value over time, the market value of these accessories must continually increase thanks to the digitization of the products.
Sports collectibles such as trophies, autographs, awards, and other sports equipment are being transformed into digital assets that can be used as unique digital assets in the digital world. There is a possibility that tokenizing the sports collectibles with NFTs will lead to a huge expansion of the NFT market, along with enormous profits.
NBA projects such as Top Shot, the NFL’s blockchain application, and other similar projects have gained major traction among fans with regard to their acceptance.
As part of the collaboration and partnership between NFT and the sports industry, the Digital Sports Collectibles or the Sports NFT industry has been able to grow and is also having positive impacts on the sports industry as a whole.