NBA NFT program earns $5.6 million in financial push after Donald Trump's tariff plans

With U.S. President Donald Trump standing by his tariff plans, sports leagues like the NBA are beginning to change their merchandising strategy. According to a report from Cointelegraph on Thursday, which quoted Ridhima Kahn, Dapper Labs' vice president of business development, it's seeing an uptick in digital collectibles.

Part of the reason is Trump's tariffs, which are expected to make the cost of imported goods soar. According to Kahn, whose company is partnered with the NBA and NFL, NFT sales are up 7% compared to last quarter, with Top Shot earning $5.6 million.

According to Kahn, with the cost of imported goods expected to rise, teams are starting to lean more into digital memorabilia, such as NFTs. Top Shot allows users to "own" highlights, like Steph Curry's 3-pointer.

“I’m seeing a lot of brands rethinking where revenue and fan engagement come from," Kahn said. "A lot of franchises, like the ones we work with have already had years of success with digital collection, and we’re seeing a lot of brands express interest in digital collectibles as a way to engage with fan bases at a time when physical costs are riskier and unknown.”

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NBA leaning into NFTs isn't the only change that could be on the horizon for the league

While Donald Trump's tariffs could wind up leading pro sports leagues to lean into digital collectibles and merchandise, this isn't the only change that could be on the horizon.

On Tuesday, Adam Silver appeared on Sirius XM NBA Radio, where he spoke about the possibility of an expansion.

In recent years, there have been talks regarding an expansion, with the expectation being that Seattle and Las Vegas will get franchises.

However, Silver previously made it clear that the league wouldn't discuss an expansion until after negotiating its next media rights deal. With the CBA and broadcasting rights deal both finalized, the NBA commissioner shared that the league will discuss it this summer.

"We have an NBA board meeting in July in Las Vegas, and my sense is (expansion) will be on the agenda to discuss with full ownership," Silver said.

Silver also mentioned Seattle and Vegas as potential cities for expansions, which raises questions about LeBron James' future, as he has expressed his desire to jump into ownership.

About the author

Evan Bell is a journalist specializing in the NBA and NHL at Sportskeeda, whose love for the game stems from a childhood spent watching the Chicago Bulls. He has been there through their highs and lows, from the Jordan era to the exciting Derrick Rose and Joakim Noah years.

Evan finds the 82-game season and the intensity of playoff basketball exhilarating, and he also revels in the offseason drama. Phil Jackson stands out as his favorite coach, whom he admires for his composed leadership and success in managing dynamic personalities like Dennis Rodman.

To deliver top-quality content, Evan fact-checks information while diligently keeping up with the action year-round.

When he's not writing, Evan follows tennis and Greek football, and also plays basketball and tennis.

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Edited by Victor Ramon Galvez