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Nike has sold RTFKT, its once-prominent digital collectibles and virtual fashion studio, marking the sportswear giant’s final exit from the NFT business after a multi-year experiment that began at the height of the 2021 crypto boom.
The sale, completed Dec. 16, comes as the NFT market has lost more than 67% of its value over the past year and as Nike refocuses on its core athletic footwear and apparel operations under new CEO Elliott Hill.
The divestiture comes as part of a broader strategic reset under Chief Executive Officer Elliott Hill, who took the helm in late 2024. Hill has moved quickly to streamline operations and sharpen Nike’s focus on sports performance, physical products, and wholesale partnerships.
RTFKT was acquired under former CEO John Donahoe, whose tenure emphasized digital expansion, direct-to-consumer channels, and virtual goods. At the time, RTFKT-produced NFTs and digital sneakers were seen as a natural extension of Nike’s brand into the metaverse, significantly expanding Nike NFT holdings.
However, Hill has taken a more conservative approach. During his second year leading the company, Nike has pared back experimental initiatives that failed to demonstrate clear revenue growth, placing RTFKT firmly on the chopping block.
Nike formally announced in January 2025 that it would close RTFKT after gradually reducing product releases. The company said it would pause new NFT production while maintaining limited collaborations with video game publishers on in-game wearables and virtual items.
The December sale effectively closed the chapter on RTFKT’s role within Nike NFT holdings, signaling that the company no longer sees standalone NFT studios as strategic assets in the current market environment.
RTFKT had built a strong reputation for high-end digital collectibles, including virtual sneakers and avatar wearables, and collaborated with artists and gaming platforms. Still, the prolonged NFT slump has eroded both trading volumes and brand momentum across the sector.
The sale of RTFKT also coincided with renewed scrutiny of Nike’s broader brand portfolio. In December, Nike’s Converse unit reported an approximately 30% year-over-year sales decline in the fourth quarter of 2025. The slump sparked speculation among analysts about potential divestitures, though Nike has not confirmed any plans to sell Converse.
Following the RTFKT exit, some NFT community members raised allegations of “rugpulls,” accusing major brands of abandoning Web3 initiatives after selling digital assets to consumers. Nike has not commented on these claims, but the controversy underscores reputational risks tied to Nike NFT holdings and similar corporate ventures into NFTs.
Nike’s retreat from RTFKT is unfolding against a grim backdrop for the broader NFT market. Monthly NFT sales dropped sharply in November 2025 and declined further in December, according to market data. Over the past year, total NFT market capitalization has fallen by more than 67%, erasing much of the value created during the 2021–2022 boom.
This sustained downturn has forced major players to rethink their strategies. For companies managing large Nike NFT holdings–style portfolios, the lack of liquidity and diminished consumer interest has made continued investment difficult to justify.
Leading NFT platforms have not been immune. OpenSea, once synonymous with NFT trading, announced plans to pivot from an NFT-only marketplace to a broader trading platform that includes tokens, digital collectibles, and even physical goods.
Other platforms have exited NFTs entirely. X2Y2 shut down its NFT marketplace and shifted its focus to artificial intelligence, citing declining volumes. Rarible, meanwhile, introduced a redesigned trader rewards program after acknowledging that earlier incentive models were financially unsustainable.
These moves reflect a wider industry recalibration that has directly impacted the perceived value of Nike NFT holdings and similar corporate digital asset portfolios.
The downturn has also hit the conference circuit. Organizers behind NFT Paris and RWA Paris abruptly canceled their February 2026 events, citing unfavorable market conditions. The cancellations highlighted reduced corporate sponsorship and waning attendance, further signaling contraction across the NFT ecosystem.
For brands like Nike, the retreat of events, platforms, and liquidity has reinforced the decision to scale back Nike NFT holdings rather than double down on speculative digital markets.
Nike’s quiet sale of RTFKT suggests a broader reassessment of how global brands engage with blockchain technology. Rather than maintaining dedicated NFT studios, companies may prefer lightweight partnerships or licensing deals that limit balance-sheet exposure.
Analysts say the move does not necessarily spell the end of digital assets within Nike’s ecosystem, but it does indicate that Nike NFT holdings will no longer be a core pillar of its growth strategy.
As the NFT market continues to search for a sustainable use case beyond collectibles, Nike’s retreat stands as one of the clearest signals yet that the era of aggressive corporate NFT expansion has ended for now.
