The rising prices of Bitcoin, Ethereum, and other cryptocurrencies caused a handful of crypto-facing companies such as $MARA and $RIOT to go on monstrous runs over the last few months. Now another fad is boiling over from the world of crypto into the world of equity markets: non-fungible tokens. NFTs are catching interest from investors and publicly traded companies.
Twitter CEO Jack Dorsey sold his first tweet, posted March 21, 2006, as an NFT for $2.9 million. He plans to donate the proceeds from the NFT to “Give Directly Africa Fund,” a charity helping people in poverty. But we’re not really sure what this sale means for the buyer. Do they actually own the tweet? Do they own the rights to the tweet? Probably not. By the way, $TWTR is down 1.43% today - so nobody cares.
In seriousness though, NFTs are causing moves on markets. Toy maker Funko, which makes licensed collectibles around Disney, the NBA, NFL and Harry Potter, surged on markets today because of rumors they’ll be making digital collectibles. $FNKO was up 9.8% today.
Takung Art Co., a Hong Kong-based art marketplace helping investors and art collectors buy Asian fine art, is also catching NFT buzz. $TKAT rose on news that the company wants to “get into the NFT space.” Seeing as though it already interfaces in the physical art world, $TKAT’s incursion into digital art collectibles has captured more attention than generic firms. $TKAT is up 9.8% today.