Luxury Jewelry and specialty retailer Tiffany & Co. succeeded in selling all of its 250 NFTiffs for 30 ETH, or about $50,000 each. All these custom CryptoPunks took no longer than 20 minutes to be sold out and generated some $12.5 million in revenue for the company.
Tiffany’s NFTs dubbed “NFTiffs” are exclusive digital passes for CryptoPunk NFT holders who can turn their NFT into a custom jewel-encrusted pendant. They not only get the right to redeem their digital passes as a pendant but also get a digital version of that pendant to go with it.
These NFTiffs are powered by a blockchain technology firm chain. Those who purchased them must redeem their tokens by August 12. As per Tiffany’s website, the custom pendants are expected to be delivered to buyers early next year.
Note that, if an NFTiff holder sells their token before shipment of the pendant then they become ineligible to receive the pendant. In the sale, each customer was entitled to buy a maximum of three NFTiffs.
Launching such expensive NFTs at a time when cryptocurrency prices are so low is dubious, but NFT collectors have made it successful. However, the floor price has declined from its sale price and is currently at around 27 ETH or $46,000, which indicates a slight loss for its holders.
According to NFTGo, there have also been resales of NFTiffs with their trading volume reaching over $1 million in the last 24 hours. Clearly, Tiffany’s NFT debut is still garnering a lot of attention in the crypto space as many are still eyeing this exclusive collection
Moreover, purchasing an NFTiff and linking it to your CryptoPunk gives Tiffany, its affiliates, agents, and other related entities an irrevocable, non-exclusive, royalty-free license to use your CryptoPunk and its IP to design, manufacture and sell the pendant.
For instance, owning a BAYC NFT gives you IP rights tied to it, according to which you can use your NFT commercially or for any purpose you wish to. Recently Shammi Shinh made use of his BAYC NFT rights and sold a BAYC NFT champagne bottle for $2.5M.
However, there is a lot of uncertainty around IP rights in the Tiffany case because it is not stated whether CryptoPunk owners will receive their IP rights back after the pendant is manufactured and delivered.
For the time being, all we know is that purchasing an NFTiff entitles Tiffany to CryptoPunk’s intellectual property.