Nike quietly "clears inventory" in Web3: RTFKT sold, NFT ambitions officially retreating?

Nike quietly sold its digital assets subsidiary RTFKT in December 2025. Once considered a core part of the brand’s Web3 strategy, the NFT and virtual sneaker studio was officially spun off from the Nike ecosystem. According to OregonLive, the transaction took effect on December 16, but Nike did not disclose the buyer’s identity, transaction amount, or specific terms. The entire deal was completed almost silently in the market.

This sale came about a year after RTFKT announced it would shut down its Web3 services in January 2025. Nike’s high-profile acquisition of RTFKT in 2021 aimed to leverage NFTs, virtual fashion, and metaverse digital assets to explore new brand growth points in gaming, virtual worlds, and crypto culture. However, with the cooling of the NFT market and obstacles in Web3 commercialization, this strategy ultimately failed to sustain.

From a strategic perspective, Nike’s exit from RTFKT is closely related to the company’s overall transformation. Since CEO Elliott Hill took office, he has clearly promoted Nike’s return to core sports products and traditional retail channels, re-strengthening relationships with wholesale partners like Dick’s Sporting Goods and Foot Locker. Compared to previous management’s emphasis on digital direct sales and experimental innovation, Hill prefers to reduce complexity and risk exposure in non-core businesses.

Despite selling RTFKT, Nike has not completely abandoned its digital layout. The company has ceased NFT issuance but still maintains collaborations with game developers like Fortnite and EA Sports, focusing on in-game virtual items and digital wearable content. This “light-asset” digital strategy is seen as a pragmatic adjustment to the high volatility of Web3.

It is also noteworthy that the closure of RTFKT has sparked legal disputes. Some investors sued Nike, claiming that the sudden termination of the Web3 project damaged the value of virtual sneakers. Nike requested the court to dismiss the lawsuit at the end of 2024. Additionally, Nike faces operational pressures, with its Converse brand experiencing approximately a 30% year-over-year decline in sales in the December 2025 quarter.

Overall, the sale of RTFKT marks a clear contraction of Nike’s Web3 and NFT strategies. Against a backdrop of tightening macroeconomic conditions and pressure on core businesses, Nike is choosing to return to its sports roots and a manageable digital path rather than continuing to bet on high-risk crypto and metaverse narratives. This shift also provides important insights for traditional consumer brands planning their Web3 strategies.