Meta CEO Mark Zuckerburg sure knows how to resurrect a dying market digital collectible market. With NFT sales down a whopping 88%, an old camp counselor decided to consign a signed Mark Zuckerburg baseball card to auction. An 8 year old Zuck had his mother make the card, and the counselor asked Zuck to sign it. 30 years later, the physical card and a corresponding NFT was created and brought to auction.
The results speak for themselves. An 8 year old Zuck who supposedly batted .920 (meaning that he got a hit every 9 out of 10 at bats, where a major leaguer can make it to the Hall of Fame for hitting .300) and his creation, Meta, worth 400 billion dollars are immortalized in the card which sold for over $120,000 with fees. The corresponding NFT did not fare as well, hammering in at 11 ETH (about $17,000).
Even though interest rates are creeping up, a war is continuing to rage on in Ukraine, and the stock market is enduring a bear market, people are still willing to pay for special unique objects. The sale of this special piece leads us to reiterate the three basic tenets behind successful collectibles.
1 – Limited edition collectibles
We know this from basic economics that with more supply comes a decrease in price. To keep prices elevated, limit the number of pieces that are floating around out there. (The baseball cards from the 80’s are essentially worthless with over a billion cards supposedly in circulation; hence the era is known as Junk Wax.)
Even better, try to number the pieces so that fakes and forgeries are more difficult. Rareness is key; remember Drake trying to locate the LeBron James Triple Logoman card? Panini only created 5 of them, with one recently selling for $2.4 million. Likewise, Wu Tang’s 1 of 1 album, “Once upon a time in Shaolin,” was bought by pharma bro Martin Skreli for $2 million. With rarity comes high prices.
2 – Mint Condition
Coming from the creator, all pieces should be perfect mint. NFTs, if they survive, should not have condition issues. However, if you ever find yourself lucky enough to have pieces floating around on the secondary market, you’ll be keen to know that the highest graded pieces are always exponentially more valuable than even the second highest graded piece.
But if you truly have a high demand piece, even a poor grade will be worth something. For example, a ripped Honus Wagner rookie card recently sold for $475,000, whereas a higher graded one (2 out of 10) sold for 7.25 million. On the flip side, the grail of sports card collecting recently became the most expensive sports card of all time; the 1952 Topps Mickey Mantle in grade 9.5 (of 10), sold for $12.6 million.
3 – Special Uniqueness
This goes without saying, but the Zuckerberg card, for example, was a pure 1 of 1 and shows us that the social media God was once a human like all of us. However, what special unique attribute can you share with your audience? Keep that in mind as you create your own collectible. Most art that sells for 7-8 figures is unique and to some beholders has a specialness to it. Further, things like the red rocket on this copy of Action Comics #1 might affect its condition but makes it special and provides a unique story.
Zuck’s baseball card is probably a record for an S&P 500 CEO. However, before it’s all said and done, I’m sure an influencer collectible will rival the low 6 figure price that Zuck commanded.
Do you have any special collectibles that people have not seen before? Any 1 of 1’s out there that we have never seen before? What special things are you doing for your own collectibles line if you are doing that? Drop us a note and we’ll be sure to work your collectibles into our next posts.