What: Digital fashion and 3D creation studio, which Nike acquired in December, revealed a collection of co-branded digital sneakers on Discord and Twitter.

Why is it important: The shoes, called Nike Cryptokicks, are modelled after the Nike Dunk sneaker and mark the brand’s long-awaited entrance into digital clothing.

The sneakers are available to people who own Rtfkt’s Mnlth, a mysterious digital box NFT that was airdropped, for free, to anyone who owned a Clone-X in February. Clone-X is the PFP project that Rtfkt created with artist Takashi Murakami in November. People could elect to sell their Mnlth NFTs or keep them. Now, those who held onto it have been rewarded, can burn their current Mnlths in exchange for a Mnlth that holds a Cryptokick.

Trademarks filed by Nike for Cryptokicks offered clues about its future roadmap. It filed for downloadable computer software for use as a cryptocurrency wallet, services for a marketplace for digital currency assets, services that provide a digital currency or token for an online community, electronic bulletin board services, blogs in crypto-collectibles, online scavenger hunts, and technology that enables members to receive crypto assets.

This Cryptokicks launch could be the first of many digital launches from Nike. The brand has previously filed seven metaverse-related trademark applications, indicating an intent to make and sell virtual branded sneakers and apparel.

Nike and Rtfkt create the digital “Cryptokick” sneaker