Nike may be creating its own cryptocurrency as the shoe company files a trademark application for “cryptokicks.”
A lot of major companies are getting into the blockchain/cryptocurrency ecosystem. Forbes recently compiled a list of billion-dollar companies that are diving deep into blockchain technology. Some of these corporations are Walmart, Google, Amazon, Samsung, Microsoft, Nestle, Facebook, Oracle, and Visa.
Fewer companies are moving into cryptocurrency, although JPMorgan Chase has with the creation of their own virtual currency. One extremely popular company may be entering the cryptocurrency marketplace, but it is one you wouldn’t expect – Nike
Just do it!
Nike, the mammoth shoe company, recently filed a trademark application for “cryptokicks.” At first thought, one could be excused for thinking the company was looking to develop and market some high-end sneakers that feature some crypto flair.
However, the trademark application shows the company’s interest in blockchain technology as well as a possible new cryptocurrency. One section of the application speaks of “online marketplace services, namely, providing a marketplace for buyers and sellers of digital currency assets; Operating an online marketplace featuring footwear and clothing; on-line retail store services.”
Another section of the “cryptokicks” trademark application refers to “providing electronic transfer of a digital currency for use by members of an on-line community via a global computer network; Issuance of tokens of value; cryptocurrency trading services; digital currency exchange services; financial services, namely, providing liquidity services in connection with digital currencies and assets, cryptocurrencies, virtual currency and blockchain-based assets; payment processing; financial transaction services.”
Nike is serious about its digital sales. The company noted that its last quarter of digital sales hit over $1 billion for the first time ever. The trend is of ever-increasing digital sales as the recent quarterly sales mark a 36 percent increase from the same time period of the previous year.
On another note, Nike also filed a trademark application for “footware.” This term is a combination of “footwear” and “software.”
It seems that Nike may use its own cryptocurrency to help boost its digital sales. Their application also discusses wallets, a platform for exchange, AI, downloadable software for creating public and private cryptocurrency keys, and more.
It does make sense for Nike to charge into the cryptocurrency sphere as it tends to target a younger audience. The company markets itself to people aged from 15 to 40. Every study has shown that younger generations are much more likely to accept and use cryptocurrencies on a daily basis.
Think of how many people who no longer handle cash at all when paying for groceries, gas, and even their bills. Plus, Nike has built itself up into an iconic brand for young people. How many kids dream of getting shoes associated with their favorite players like LeBron James or Kyrie Irving? A lot.
Nike gets serious about crypto
Josh Gerben, a trademark attorney with the Gerben Law Firm, said Nike is very serious about pushing “cryptokicks” as a legitimate business venture. He says:
“There has to be somewhat of a business idea behind it. If you submit things just for the purpose of submitting things, it will tie up the trademark system unnecessarily. Nike does not have a history of filings that are speculative.”
Creating their own cryptocurrency and a platform for customers to buy shoes, apparel, and other goodies with said crypto is a very smart move. Fees associated with crypto transactions are lower than those of credit cards, which puts more money in Nike’s pockets.
The next frontier for the business world is full-on digital, and it seems Nike is planning on marching into that world in the crypto equivalent of Air Jordans.