- The sports industry will continue to adopt NFTs and in 2022, total sales will exceed $2 billion, Deloitte has said in a prediction report for the year.
- Deloitte believes that India is one of the markets that are likely to see the highest growth, with the report predicting that the market will soon hit $1 billion.
The sports industry has been one of the biggest avenues of growth for NFTs, and according to Deloitte, this growth is going to continue in 2022. The global accounting and consulting giant predicts that sports NFTs will hit a market value of at least $2 billion in 2022. India will see the highest growth according to the company, with the country’s sports NFTs industry expected to hit $1 billion as cricket fans fuel the growth.
Sports fans have always loved collectibles from their favorite stars and teams. With NFTs being digital collectibles, Deloitte expects it to be a natural fit for the industry.
The company stated:
When the dust settles, a process which may take a couple of years more, NFTs are likely to become regarded as an important application of technologies that, overall, enhances the business of sports and embellishes the sports fan experience.
In 2022, over five million people will buy or be gifted sports NFTs, predicts Deloitte, which is the largest of the Big Four accounting firms, ahead of Ernst & Young, KPMG and PricewaterhouseCoopers. Player cards and limited edition video clips will top the list as the biggest hits with sports fans.
“A 30-second video of an iconic sports moment – such as a Messi dribble past five defenders ending in a goal – captured by an array of 4K cameras costing $100,000 each, operated by highly skilled camera people – can be replicated and shared within seconds by a fan at home,” the audit firm illustrated as one of the examples of how NFTs will be used by sports fans.
Deloitte further believes that NFTs could add value to ticketing and physical collectibles.
“A major challenge with memorabilia is authentication. NFTs can be applied to physical collecting cards, match balls and other mementos, using techniques pioneered for the art market,” it claimed.
With football being the world’s most popular sport, Deloitte expects this to be the biggest market. European football clubs have already started to dip their toes into NFTs, following their dive into the world of digital tokens Deloitte says that the 2021-2022 season could be the first in which NFTs start to make a major mark, from a revenue perspective on the football market.