NFT Startup Americana thinks it can do it on eBay

NFT

Americana, a crypto-native NFT trading platform that bridges digital collectibles into real-world assets, went public on Friday.

A confidential marketing deck obtained by Blockworks teased a number of Americana partnerships that were brewing — including a deal with a prominent, undisclosed fine arts auction house.

The US crypto startup is entering what it categorizes as a beta phase — building on a $6.9 million startup raise in May 2022. Its valuation has not been disclosed.

Under the leadership of CEO Jake Frey, who has worked in design roles for Apple and Twitter, Americana is now in the process of raising additional capital. It has already received NFT marketplace OpenSea support.

“We are now raising new capital,” Frey said in an interview with Blockworks on Thursday. “We’re also a company that’s going to make money on day one, so that’s a luxury.”

The deck features a total of eight employees, including Frey, and features personalized Doodle NFTs as their portrait photos. He declined to comment on the contents of the deck.

Frey has positioned his startup as a competitor to corporate digital collectible efforts, including Amazon’s NFT initiative, which the company has repeatedly delayed.

Blockworks previously reported that Amazon enterprise executives were in talks with Americana as early as last year, though an initially languorous partnership failed to materialize.

OpenSea declined to make an executive available for an interview, nor did representatives decline to answer written questions asking for additional details.

“At OpenSea, we see collectibles and redeemables as one of the most notable uses where the blockchain can unlock new benefits, such as the ability to represent your physical items across all digital experiences,” the company told Blockworks in a statement.

The state of NFTs

Industry participants say the changing state of NFTs has led to fragmentation of their use cases.

The NFT markets experienced a sharp decline in the fourth quarter of 2022. This led to significant headcount cuts at NFT affiliates, which further worsened the situation.

Since then, well-capitalized upstart NFT platforms, including Blur, have raced to roll out a series of incentives and product lines designed to capitalize on the opportunity. Sentiment has extended to capital flows from venture capital funds, as well as mergers and acquisitions picking up again.

The idea of ​​getting Americana’s core product off the ground, Frey said, is to take a “single NFT tied to physical and digital art,” allowing “all artists” to combine their “physical and digital art.” [creations] who were previously divorced.”

“It has been a huge pain in the butt [artists]’ said Frey. “This is what they want: they want their [art] being married to his twin brother.”

How to jump

Americana’s tech stack relies on its NFT vaulting capabilities.

Linking real-world items to digital collectibles via third-party custody has long been an expensive and tedious process, and Frey positions the launch as able to move the needle in that regard.

Americana is launching a “climate-controlled” range of locations that can protect valuable and rare collectibles – and their ownership will be verified by blockchain technology, with NFTs as the connecting medium.

The deck references Americana doing business with Brinks, known for its ubiquitous armored trucks, as well as the fine arts transportation and warehousing company Crozier — plus Crozier competitor UOVO. Convelio, which profiles itself as a specialist in shipping antiques, is also said to be involved.

It runs on its own token. Americana’s real-world vault is “in a tax-exempt state,” the company said, implying that sales tax on vaulted consumer purchases won’t have to be coughed up when buying an item.

Users would have to pay sales tax when claiming items, which would then be shipped to them.

The idea is to enable artists and creators through Americana’s platform to display a digital collectible for a range of consumer goods and art, ranging from a Gucci wallet to Kanye West’s Yeezy collection.

The chances of Frey’s start-up succeeding depend on continuing to form high-profile partnerships with top brands in an effort to win over consumers willing to cough up what amounts to extra cash for their purchases.

Future, Ohanian among Americana backers

In addition to OpenSea, American’s seed round was led by deck by Alexis Ohanian, the co-founder of Reddit who went on to launch crypto venture capital firm Seven Seven Six (776).

Also leading the round was the rapper Future, who has built a thriving investment business of his own, including backing what appears to be a growing number of cryptocurrency initiatives.

Ohanian — who made waves at the New York Met Gala by flashing Gucci cufflinks — was angling to raise a whopping $776 million for two new 776 venture funds earlier this year, The Information reported in February.

Creators on the platform include Danny Cole, Vinnie Hager, Dustin Yellin, Tom Sachs, Alexis Ohanian, and Andrew Wang.

Americana’s positioning, as emphasized by Frey, is aimed at creators, with a focus on providing customization options on the platform. This is highlighted in the marketing deck, which categorizes eBay and other traditional marketplaces as obsolete.

“We’re not just outright transactions,” he said. “It’s not eBay, where it’s just a listing, and I’m just a seller behind the listing. You can tell your story with things you are interested in instead of buying this thing now.