The NFT collectibles project known as NBA Top Shot is designed to capture and preserve memorable basketball game moments in the form of movies distributed across a blockchain.
These non-conventional trading cards enrich the community experience – and generate a lot of speculation – in a manner analogous to traditional basketball trading cards, which fans may purchase, keep, or exchange for millions of dollars.
The debut of the inaugural collection took place in July 2019 and was met with immediate and unqualified acclaim. However, the most significant growth occurred at the beginning of 2021, when NBA Top Shot became the most successful NFT marketplace with sales of $50 million. By the end of 2021, a total of $300 million had been generated by sales of NFTs and the ‘swapping’ of cards within the community.
How does NBA Top Shot work?
The system uses the smart contract process to allow users to purchase NFTS and then use a token-based voting process to decide on future NBA moments that will be captured in digital movies. People can enjoy digital movies through their preferred video viewing platforms and traditional NBA trading cards.
They can also ‘swap’ their NBA Top Shot collection with other collectors through a peer-to-peer platform. It is worth noting that any profits generated from the trading cards are in the form of ‘swaps,’ which are non-monetary exchanges.
The project has been designed with a very high focus on engagement and community development so that collectors can interact with each other and swap their NBA Top Shot collections.
As a result, a very high level of participation within the NFT community creates a consistent opportunity for the Top Shot tokens to appreciate.
NBA Top Shot is not a generative image collection like most other popular NFT collections. Hence you cannot use it for your profile picture. Instead, they are video recordings of key moments from the games, although the gameplay is otherwise identical to that of other static NFTs.
The information about the videos is kept in each NFT smart contract hosted on the Flow blockchain. Each possesses a unique set of traits, often known as metadata, that determines its level of rarity and market worth.
It is impossible to change, and the record of all transactions, including to and from which wallets, is permanently stored on the blockchain so that anybody may access it.
When put another way, when you purchase one of these NFTs and have it securely saved in your cryptocurrency wallet, that particular moment is officially yours to retain, as are the amenities that come along with it. This also applies to any additional NFTs that you purchase in the future.
With so much fanfare surrounding the debut of NBA Top Shot, it was inevitable that many of these cards would increase in value. This has certainly been the case with some players and their cards, including Kevin Durant, Kawhi Leonard, and Luka Doncic. Other NFTs, such as those belonging to Devin Booker, have also experienced significant increases in price across a relatively short timeframe.
Why is the NBA Top Shot NFT collection so successful?
The reasons why NBA Top Shot has been so successful initially relate to the following developments:
They take the form of YouTube-style movies and do not just use the image. The popularity of the NBA Leads to a high level of participation within the community and A huge fan interest. The cards can be bought, traded, and swapped with other collectors.
The other aspects that contribute to the success of this NFT include:
- A highly engaging platform that is easily accessible.
- High level of collectibility.
- High-value cards increase in price, making a great investment opportunity for future collectors.
The NFTs are not based on traditional basketball trading cards, meaning there is a lower barrier to entry. This translates into more people being able to purchase them, making the market very receptive to new entries and increasing the value of all NFTs in circulation.
As can be seen from the data presented on DappRadar, the NBA Top Shot collections have been responsible for generating 19,866,603 sales that have been distributed among 567,630 different traders since the game’s launch. The sales volume has already surpassed $967.72 million, with each collectible bringing in an average value of 48.71 dollars.
Several months after the NFT bull run in early 2022, the decentralized NBA Top Shot application has climbed to the top of the DappRadar Top Collectibles Dapps Ranking, thanks to these numbers.
But what factors contributed to the overwhelming success of this NFT sports project? In addition to the powerful team behind the project, which was responsible for other triumphs on Web3, such as CryptoKitties, NBA Top Shot also had investments from prominent figures outside the cryptocurrency industry.
In addition, the backing of the NBA assured NFT newcomers that the project was, in fact, a legitimate investment opportunity and not a con. Because of NBA Top Shot and how simple it is to make a purchase, many people have recently started collecting NFTs for the first time.
Additionally, dozens of notable public figures have become members of the NBA Top Shot community by purchasing their own NFTs from the collection, which has enhanced the project’s reputation further. The names Michael Jordan, Mark Cuban, and Kevin Durant are three of the most well-known collectors in the world today.
Advantages of NBA Top Shot
Ease of use:
NBA Top Shot has a user-friendly interface that makes it a pleasant experience for novice and experienced users. This applies to the web application and its mobile applications as well.
The streamlined process also allows you to buy NFTs quickly without spending much time on the endeavor. Once you have the requisite cryptocurrency, you can purchase it within minutes of logging in.
Lowers the barrier:
The barrier to entry for NFTs is significantly lower than many other digital assets, as you do not need expensive mining hardware or technical expertise to start collecting and trading them. All you will need is a powerful smartphone and an internet connection. As long as these two elements are available, you can easily start buying NBA Top Shot NFTs.
Additionally, because the video clips are not static images, they represent unique opportunities for collectors who want a more engaging type of NFT in their collections.
Great collecting experience:
NBA Top Shot is a very interactive platform that offers collectors instant gratification. It lets them share content and even trade NFTs with other collectors in the community. This feature brings a lot of added value to the collecting experience as it allows users to form strong bonds through their collections.
Downside protection against oversupply:
The quality of the NFTs and the interactive experience make it difficult for a flood of their cards to emerge on the market. Because of how lucrative this problem is, NBA Top Shot will only release new items in small batches, following intense scrutiny. The value of each card increases in line with the frequency at which they are released to the public, which gives it great value as an investment.
Conclusion:
The NBA Top Shot is a unique NFT collectible that has enormously affected the value of other similar items in the marketplace. Its success can be largely attributed to its interactive gameplay and the fact that it represents an easy and engaging form of NFTs. This can attract many more people to start collecting NFTs, giving them a higher overall value.
Read Also –
Axie Infinity SLP and AXS Tokens Explained
When Are Ethereum Gas Fees Lowest?
Crypto Assets Valuation: An Advanced Guide