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DraftKings, UFC to Launch Gamified Digital Collectibles

  • UFC and DraftKings will release NFTs that allow fans to build collections of fighters.
  • DraftKings has access to more than 500 UFC athletes.
Gary A. Vasquez-USA TODAY Sports

DraftKings and mixed martial arts organization UFC are teaming up to launch gamified digital collectibles as part of a deal worth more than $100 million over five years. 

The gamified digital collectibles — expected to go live later this year — will arrive just as the UFC has pinned down its first official deal with a sportsbook in March 2021, entering a pact with DraftKings that encompasses a $250 million commitment to promote DraftKings’ UFC products. 

Boston-based daily fantasy sports and betting company DraftKings and UFC will release NFTs that allow fans to build collections of fighters to compete against other users for prizes.

  • DraftKings has access to more than 500 UFC athletes.
  • Collectors will be able to earn both digital and physical rewards. 

Doing business with crypto-and-NFT-based products means taking risks, as the crypto market saw more than $200 billion in value wiped away over the weekend and into the start of this week. On Monday, the market tumbled below $1 trillion for the first time since February 2021. 

UFC has displayed a commitment to crypto and the blockchain despite the uncertainty. Last week, the organization secured a five-year, $100 million deal with blockchain platform VeChain. 

Hot and Cold

DraftKings generated $417 million in revenue in Q1 2022, but the company faces an uphill battle to reach profitability. It posted a net loss of $468 million during the quarter, compared to $346 million in Q1 2021.

Endeavor, the parent company of UFC, reported $1.5 billion in Q4 totaling $5.1 billion in 2021.

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