As tariffs continue to rock the global stage, brands are making a digital pivot—betting big on blockchain-enabled merchandise. Ridhima Kahn, the dynamic VP of business development at Dapper Labs, shared her insights with Cointelegraph, revealing how uncertainty over physical goods costs is nudging brands towards digital collectibles. “We’re seeing brands like the NBA, NFL, and Disney, who’ve already thrived with digital collections, now viewing them as crucial for fan engagement,” Kahn noted. It’s a strategy driven by the volatile tariff landscape that threatens traditional revenue streams. This follows a broader trend in the industry, as detailed in Crypto Daybook Americas: Robinhood’s Crypto Growth Presages Riot, Strategy Even as Tariffs Hit GDP.
Digital as a Go-To-Market Strategy
The digital world offers a nimble alternative. Fan bases are no longer confined by geography, and digital collectibles offer a seamless, global experience. Kahn highlighted that “average NFT sales are up 7% quarter-over-quarter,” with platforms like NFL All Day and NBA Top Shot generating millions. The total value locked on Flow, a blockchain platform, hit an all-time high of $44.4 million, driven by initiatives like KittyPunch. This trend signifies a wider acceptance of blockchain beyond just NFTs, illustrating its growing utility in the digital marketplace.
Helping propel this shift is the recent improvement in onramping and offramping technology, streamlining the user experience for crypto newcomers. “Blockchain companies are realizing they need to enhance the user experience to grow their user base,” Kahn observed. The regulatory landscape, slowly crystallizing, is also instilling confidence in brands once skeptical of blockchain’s potential. This is further supported by developments like Mesh Adds Apple Pay to Let Shoppers Spend Crypto, Settle in Stablecoins, which enhance the accessibility of digital currencies.
Less Fear, More Utility
With regulatory clarity on the horizon, companies are increasingly embracing blockchain. Kahn pointed out that IP-backed collections are soaring, with NBA Top Shot recently ranking among OpenSea’s top-five trending collections. The strategy? Dive deep into fan bases, A/B test experiences, and refine products based on direct feedback. It’s a meticulous approach that ensures the end product—often digital—is exactly what fans crave.
This isn’t just about creating collectibles; it’s about weaving them into the fabric of real-life experiences. “The technology fades into the background,” Kahn explained, “leaving a collectible that feels meaningful, shareable, and valuable.” Digital collectibles offer engagement opportunities that physical goods simply can’t match. They’re globally accessible and often tied to real-world perks.
However, Kahn doesn’t foresee the physical goods market disappearing. Instead, she envisions a dual approach where brands expand their playbooks. “It’s about tapping into one of the few revenue streams immune to the volatility of physical goods,” she said, underscoring the flexibility and reach of digital spaces.
In a world where mobility is king, the ability to carry one’s prized digital assets on a smartphone is a game-changer. According to Kahn, the next evolution of fandom is mobile, enabling fans to trade and engage with others worldwide, unrestricted by physical boundaries. “Consumers are open to new ways of engagement if the digital space offers tangible benefits in the physical world,” she concluded, hinting at a future where the lines between digital and physical continue to blur.
As brands navigate this uncharted terrain, the key to success seems to lie in offering genuine utility in digital spaces—a strategy that, if executed well, could redefine how fans interact with their favorite brands. The digital revolution isn’t just imminent; it’s already here, and it’s reshaping the fan experience in ways we’re only beginning to understand.
Source
This article is based on: Tariff flux pushes brands to bet big on digital merch
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Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
