Liverpool FC's NFT Drop Sells Only 6% of Initial Offering

Earlier this month, Liverpool FC partnered with Sotheby’s to release NFTs. Despite extending the buying period, only 6% of the NFTs were sold.

Liverpool FC's NFT Drop Sells Only 6% of Initial Offering
Source: This is Anfield

Earlier this month, Liverpool FC, one of the most successful soccer clubs in the English Premier League, partnered with Sotheby’s to release and sell 171,072 NFTs for $75 each. The club was expecting to raise $12.8 million in one week. However, despite extending the buying period for an extra four days, they only sold 9,721 NFTs, which is a little under 6% of their initial offering.

While NFTs have grown in popularity and been more widely accepted in the United States, they are still controversial and unregulated in the United Kingdom. Other soccer clubs who have initiated similar crypto-related projects, such as Arsenal FC and Manchester City, received criticism and backlash from their fans earlier this season.

Liverpool was still able to raise $1.5 million from the sale, primarily thanks to the popularity and value of global superstar Mohammed Salah and legendary manager Jurgen Klopp - some of their NFTs sold for over $80,000 through an auction. However, the team promised to donate a portion of their raised capital to their charity, which amounted to $281,000. After paying out fees, the club ended up with a little over $1 million.

Sports business expert Professor Simon Chadwick was disappointed in the results, noting that the sale “was rather underwhelming.” Tim Mangnall, chief executive of Capital Block, an NFT consultant company for the sports and entertainment industries, explained that “Liverpool shot themselves in the foot by releasing that many. No club in the current state of play was ever going to sell 171,000 NFTs in that short period without going hell for leather and doing every single thing possible.”

This sentiment of disappointment was expressed by many other NFT enthusiasts as well, who were hoping that this could’ve been the stepping stone for the country to be more accepting of the new technology. Others, however, put a more positive spin on the outcome. Despite pointing out their shortcomings, Mangnall said “Liverpool should overall be happy. It’s very easy for everyone to bash them but they sold nearly 10,000 and made their fans aware of it and ultimately it’s a good step for the sector to help create mass adoption.”