NBA Top Shot Moments. What Are They? And Why Is The World Going Crazy For Them?
Wind the clock back, way way back. Well, not that far back, but that only makes it all the more astonishing about how damn quickly they’ve grown! Not many of even the most bullish crypto enthusiasts predicted the meteoric rise of NBA Top Shot moments since they launched last week on February 25th, 2021.
In the first week since launching crypto enthusiasts, speculators and basketball fans spent over $230 million USD trading NBA Top Shot moments on the blockchain and their value only continues to rise. So what are these “moments” and why is the world going so crazy for them? Read on to find out.
What is an NBA Top Shot moment?
NBA Top Shot moments are tradable NFTs on the blockchain that were launched by Vancouver-based Dapper Labs (the creators of CryptoKitties back in 2017 for those who are familiar) in conjunction with the NBA.
Each token contains a video highlight of a key moment in the NBA and can be bought, sold, and traded on the blockchain similar to the way people trade traditional NBA cards. They are essentially ‘Next level NBA collectibles’ according to the creators at Dapper Labs.
These moments are sold in packs or via auction. You can view and purchase moments over on the NBA Top Shot marketplace here.
Why is the world going crazy for them?
Aside from the fact that the NBA has hundreds of millions of fans globally, the nothing short of a crazy response might be inconceivable to some, especially considering many if not all top shot moments are freely available to view online. So why is the world going crazy for them?
To understand the reason you need to understand two things:
- The concept of non-fungible tokens (NFTs)
- The value in scarcity
NFTs signal ownership and allow the holder to demonstrate the provenance of the asset or file associated with the token. This is useful in the context of collectibles because part of the value of the item is in knowing it is genuine and having been officially produced by the relevant authority — in this case, Dapper Labs in association with the NBA.
Scarcity creates value because there is only a limited supply of each moment and therefore a limited number of holders who can actually own any given moment. In a world where there are more fans and people interested in owning moments than there are moments available, prices are driven up.
Like old-world trading cards, each of the moments has a predesignated level of rarity. The levels of rarity are:
- Common moments (>1,000 copies): These moments can be purchased in Common Packs, starting at $9 for nine moments, for example.
- Rare moments (150–999 copies): Available in Rare and Legendary packs, starting at $22. The example Top Shot gives of this kind of pack contains seven common moments and one rare moment.
- Legendary moments (25–99 copies): Available in Legendary Packs, starting at $230. The example Top Shot gives contains six common moments, three rare moments, and one legendary moment
- Platinum Ultimate moments (3 copies): Available through auction only.
- Genesis Ultimate moments (completely unique): Available through auction only.
Where to from here?
While it’s still obviously very early days in the entire NBA Top Shots experiment we’re already seeing other sports brands jumping in on the trend with similar projects (e.g. Bayern Munich FC with Stryking.io, Paris Saint-Germain FC with Sorare). Our prediction is that as more and more fans join the trend that prices will only go up for all their projects from here. How much would you pay for a one-of-a-kind Michael Jordan highlight or your favorite moment from Kobe? We’re not sure but we expect that it’s a lot!