• Porsche has halted its troubled NFT mint early due to criticism of the collection’s launch.
• The secondary market price of the NFTs has more than doubled from its mint price.
• The tokens are now trading for a floor price of 3.3 ETH, or roughly $5,200.
Porsche has recently made headlines for its entry into the realm of non-fungible tokens (NFTs). On Monday, the German automaker launched a collection of 7,500 tokens modeled after the famed 911 sports car, with each token priced at 0.911 ether (ETH), or roughly $1,420. Unfortunately, the launch was not as successful as Porsche had hoped, as the secondary market quickly responded with criticism of the high supply and price. In response, Porsche decided to halt its mint early, leading to a supply shock and an increase in the price of the tokens.
On Tuesday, Porsche announced that it would end its mint with only 2,363 tokens created, leaving a much smaller supply than originally intended. This supply shock had an immediate impact on the market, with the floor price of the tokens rapidly increasing. According to data from OpenSea, the tokens are now trading for a floor price of 3.3 ETH, or roughly $5,200. This is more than double their original mint price and a testament to the power of the secondary market.
The launch of Porsche’s NFT collection is a reminder of the importance of understanding the nuances of the Web3 economy. The secondary market is often quick to react and issues such as supply, price, and branding can have a major impact on the success of a project. As the non-fungible token space continues to grow, it will be important for brands to understand the power of the secondary market and the impact that it can have on their projects.