4 Reasons NBA Top Shot is Going to Explode
If you peek around at NFT Twitter, you’ll see quickly that people have A LOT of thoughts on NBA Top Shot, and most aren’t positive. With the huge bull market in February 2021, followed by the subsequent drop, NBA Top Shot has become everyone’s favorite punching bag. But as people look to jump into the latest “project of the day,” or try to flip 10,000 mint avatar projects, I’m keeping my eye on the ball. I truly believe in the next 12 months we’ll see another leg up in NBA Top Shot, and we’re running out of time to capitalize. Let’s unpack why.
Utility Keeps Ramping Up
Roham Gharegozlou (the CEO of Dapper Labs, which powers NBA Top Shot) has said he sees Top Shot as the currency for NBA fans, and an early peek at the value of that currency is intriguing. In the last couple of months, NBA Top Shot has given certain collectors trips to the NBA Finals and the Summer League in Las Vegas. They’ve rewarded collectors of Cool Cats with special access and opportunities, including the chance to interact with NBA players as they drop by the private Discord channel. They’ve airdropped moments like the Steph Curry Cool Cats and LaMelo Ball moment based on wallet snapshots. And this is just the beginning.
I recently finished acquiring all the Series 1 and Series 2 moments for my favorite team, the Cleveland Cavs. While I got them because I love the team, I wouldn’t be surprised to see the NBA offer some sort of benefits to having the full set of a team down the line. Imagine a world where I got a chance at courtside tickets, free merchandise, or some sort special team access for simply owning the set.
Now, take everything I mentioned above, which just scratches the surface, and think about what that does to demand when fans around the world start hearing about it. They’re going to want to have those opportunities.
NBA Fandom is Huge and Untapped
Dovetailing from that last point, there are currently around 560,000 NBA Top Shot users, and there are more than two billion NBA fans. Remember the pop in February? That was mostly tech nerds like us geeking out over a new(ish) platform. The user base can literally go 100x and still be a fraction of the addressable market of NBA fans. What do you think that does for demand, especially when people see the potential utility of owning the moments? The marketplace will be bumping.
It’s Easy to Use
I’ll stand on the table all day and say that NBA Top Shot is the single best NFT platform on the planet. No sending cash between exchanges, no wrapping ETH, no paying for gas, no long wallet addresses, or complex marketplaces. Top Shot hides the complicated stuff and lets everyone have their own crypto and NFT wallets without knowing it. The marketplace is seamless, the drop system is easy…and perhaps equally important, it’s easier than trading physical trading cards. It’s a logical step for collectors and fans alike because of the ease of use.
Marketing is Coming
I believe that in the next calendar year, we’re going to see marketing accelerate for NBA Top Shot. In a recent Keynote at NFT Experience, Roham said the booth they setup at NBA Summer League was a preview of things to come. Additionally, NBA Top Shot has been increasingly investing in advertising “starter packs” to get people in the platform for their first set of moments. And soon enough, in-arena experiences are going to start to pop up. The combination of digital advertising, out-of-home, and experiential is going to start to make people curious about NBA Top Shot. And we all know how addicting it can be once you get in the platform.
The final reason I expect it to happen soon, as shallow as it sounds, is money. The NBA has a clear investment in the product with the prizes they’re giving away, and it presents a major revenue stream that didn’t previously exist. In addition to packs they sell, they’re taking a cut of every single secondary sale. That’s something they can’t do with physical cards, but with digital, it’s easy.
We’ve spent the last year or so giving feedback and being test pilots while Top Shot has tried different things within the platform. I think they’re close to having their plans nailed down, which means it’s time to open the floodgates. Buckle up.
Disclaimer: This article is not financial advice. The NFT and Cryptocurrency markets are very volatile. Please don’t invest what you can’t afford to lose. Always do your own research before investing.