Cryptocurrency News

Crypto in Sports: What Is the NBA Top Shot?

If you’re a fan of basketball, collectibles, and crypto, we’ve got great news for you. With NBA Top Shot, you can now collect digital trading cards of your favorite stars and maybe even turn it into an investment.

So, what exactly is the NBA Top Shot? Well, it’s basically an NFT trading platform that lets users trade NBA digital collectibles.

What are NFTs again?

Simply put, an NFT or non-fungible token is a unique token that allows you to determine ownership of a virtual asset. 

Meaning that it’s now possible to tokenize assets like digital art, music, real estate, and collectibles.

So, NBA Top Shot is basically a site that lets people trade virtual basketball cards?

Yes, and unlike in the past, it’s now possible for you to own virtual assets. 

These are known on the NBA Top Shot site as “moments,” which are clips of historical moments in NBA history.

This allows fans to own a real piece of history in their hands through the use of NFTs. Think of it as owning a part of Michael Jordan’s 1984 Olympics Converse sneakers.

Because of this, NBA Top Shot has taken off in a big way, with some NFTs being sold for as much as $19,999 on the site.

So, with all of this in mind, let’s now take a look at everything you need to know about NBA Top Shot.

  1. NBA Top Shot has been around since 2019

Founded in 2019, NBA Top Shot was launched by Vancouver-based Dapper Labs in conjunction with the NBA.

The site makes use of blockchain technology to tokenize basketball highlights in the form of “moments,” which are then sold on the site.

To get their hands on these “moments,” users will need to spend money to purchase digital packs – just like how you would with trading cards.

  1. How are NBA Top Shot’s moments valued?

The value of each individual moment is determined by its position on NBA Top Shot’s rarity tier, which can be broken down into 5 levels:

Common – Moments with over 1,000 digital copies and can be purchased in Common packs.

Rare – With 150 to 999 digital copies, rare moments can be found in Rare Packs that start at $22 and consist of 1 rare moment and 7 common moments.

Legendary – Legendary moments have only 25 to 99 digital copies and are only found in Legendary Packs that start at $230. Each Legendary Pack contains six common moments, three rare moments, and one legendary moment.

Platinum Ultimate (3 digital copies): Only available through auction.

Genesis Ultimate (1 digital copy): Only available through auction.

By creating artificial scarcity, NBA Top Shot can drive up the value of these collectibles, with some collectors willing to pay top dollar for particularly rare moments.

Because of this, some people see NBA Top Shot as a form of investment as the value of some rare moments can be appreciated over time.

  1. How does NBA Top Shot work?

NBA Top Shot is actually an NFT trading platform that allows users to buy and sell digital assets on the marketplace.

This is all possible thanks to blockchain technology, i.e., a decentralized digital ledger that functions as a database of sorts.

Once a user purchases a moment, it will be stored on his/her Top Shot digital wallet that keeps the moment safe. You are then free to sell or trade this moment on the Top Shot marketplace as you wish.

  1. Is NBA Top Shot legitimate?

Like all things crypto-related, NBA Top Shot exists in a decentralized and unregulated environment.

But as far as legitimacy goes, NBA Top Shot is as straight as they come. The platform has been around since 2019 and is backed by the NBA.

While there have been issues with long transaction times, not much else has been said about NBA Top Shot and its reliability.

So, the answer is definitely yes – NBA Top Shot is a legitimate and trustworthy platform that you can use to buy and trade NFTs. So, keep an eye on the latest NBA trade rumors, so you don’t lose any money:

Closing thoughts

While NFTs have taken off in a big way, it isn’t exactly easy to determine the actual value of an NFT, i.e., an item valued at $20,000 today may be worthless tomorrow. Only buy what you like and spend what you’re prepared to lose as a rule of thumb.

Jason Palmer

Jason Palmer joined CoinNewsSpan as an editor and analyst. He has over five years of experience as a forex analyst. He holds a master's degree in business administration with specialization in finance. He is actively involved in analyzing the prevalent crypto trends. He has a keen interest in commodities and forex trading.

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