Porsche, the German luxury car company, has made its Web3 debut with the launch of its first collection of non-fungible tokens (NFTs). The collection consists of 7,500 NFTs featuring the popular Porsche 911 as the protagonist, with a fixed price of 0.911 Ether (ETH) or $1,490 per NFT. Despite the anticipation generated amongst the fans of the brand, sales of the collection have not been as expected and, even, the price of the NFTs has fallen below the issue price in the secondary market.
The work is by the artist Patrick Vogel, specialized in 3D designs, and allows users to have a portrait of the Porsche 911 in the metaverse of the company. Users can choose between different appearances, depending on the Performance, Heritage and Lifestyle categories.
One small step for NFTs, a complete flop for Porsche
The issuance of the NFTs was divided into four waves in a pre-sale listing, followed by a public issuance where buyers could purchase up to three 911 NFTs. The launch was divided into three phases, with the first currently underway. Porsche hasn't revealed too much about phase 2, but phase 3 seems to be based on rarity. Users will be able to turn their 911 NFTs into one of the 150,000+ variations listed on the official website.
However, in the first hours of the broadcast, sales of NFTs seemed to have slowed down. As of this writing, only 1,371 of the 7,500 NFTs had been purchased, leaving more than 82% of the collection unsold. Secondary market data paints an even worse picture for the collection. According to data from the OpenSea NFT platform, the sale price of 911 NFTs has fallen below the issue price of 0.911 ETH. The minimum price initially reached as high as 3 ETH on January 23, but returned to the original price at the time of publishing this article. The best offer for the NFT stood at 0.86 wrapped Ether (wETH), which is equivalent to approximately $1,410.
The cryptocurrency Twitter community has not been enthusiastic about the idea of a luxury company like Porsche trying to make millions of dollars with NFTs in the midst of a bear market.
Third time's the charm
The luxury car manufacturer has more than 80 years of history. Founded in Germany in 1931, the company has evolved over the decades, producing iconic sports cars like the Porsche 911 that have become symbols of luxury and are now hitting the web3.
The company has gone a step further with its first NFT collection, an initiative reflecting Porsche's interest in exploring new technologies and leading the automotive industry. However, the promises have not been enough for his community to acquire the collection. The sale of the first Porsche NFTs will allow holders to "drive" a replica of their NFT in a virtual world, but it seems that users still prefer the physical version.
Porsche has not yet started the development of its own metaverse, but it has taken the first steps with this proposal and, for the moment, it is not going well at all. Other automobile brands, such as BMW or Renault, have also entered the metaverse. Despite Porsche's misfortune when entering these virtual worlds, its competition intends to continue its race towards the web3 and, of course, the German luxury firm will not stop trying.
The first step was to register their brand in the metaverse, the second to issue their first NFT collection and, despite the failure, they say that the third time is the charm.
Will it all work out for Porsche or will it come in last place in its race to the metaverse?