In a wave of price action reminiscent of the 2017 mania, shortly after they announced they had purchased the NFT display and tracking platform Tokenwave, the stock of pop culture collectibles Funko (NYSE: FNKO) surged more than 20%.
However, unlike many price-boosting announcements that are heavy on hype and little content from the latest bull run (and the dozens inevitably to come in the coming months), Funko and NFTs could be a perfect fit.
Thursday announced the creator of the widely popular Funko Pops collectibles line in a press release that they had acquired a majority stake in TokenWave, the developers of the TokenHead NFT app built on the WAX blockchain. The release states that the investment is their “first entry into the NFT market,” and that the company will be releasing digital collectibles starting June at a price of $ 9.99.
In addition, the company has physical and digital hybrid products in the works, such as combining the “rarest of the Funko NFTs with exclusive redeemable Funko Pop! S.” The company will also take advantage of its extensive licensing agreements – an increasingly important source of NFT platform traction
The company’s stock rose to $ 24.81 on the news Thursday, before pulling out in the afternoon. FNKO shares closed at $ 20.96 a share, up 6.5% on the day and more than 100% on the year.
When Cointelegraph reached him, a Funko representative declined to comment.
The move should be familiar to industry veterans. At the end of the last bull run, multiple companies, such as Kodak, were saw huge price gains following blockchain-related announcements. Given the wave of C and D list celebrities looking to make a quick buck on NFTs, it was inevitable that companies would follow suit.
Funko may be an exception to the rule. NFTs are an ideal collection vehicle, and digital collectibles provide the company with a new way to connect fans with brands, meaning the company can have lasting power in the blockchain space. Likewise, Funko’s chosen platform, WAX, has already seen some success with licensed NFTs, including with a recent Godzilla vs. Kong release