By Richard Johnson

• NFT sales up 55% since 2020 from $250M to $389M
• The roughly $6B hip hop industry is entering the crypto arena
  

Dripped in extravagance, there is one thing music artists, entertainers, athletes and the like have always been able to do, and that is capitalize on all things trending. From the auctioning off of Soulja Boy tweets, Eminem sponsored getaways, to Snoop Dogg collectibles, the roughly $6 billion hip hop industry is entering the crypto arena selling nonfungible tokens (or NFTs for short).

Why This Matters: Quick background on NFTs: the non-fungible token that is one-of-a-kind and is being used as a digital collectible. Digital currency like Bitcoin or Litecoin is fungible, so if it's traded for another, the end result is exactly the same thing. Not with NFTs though; once traded, an NFT is unique to its buyer. For example, during this year's NBA All Star Weekend Quavo, Lil Baby, 2 Chainz and Jack Harlow teamed up with Bleacher Report to release an NFT collection. The collection featured "four custom-designed basketballs that mix music, culture and sport with innovation." They each received their own individual gold NFTs that sold for more than $591,000 with 2 Chainz's No. 1 of 10 selling at the highest for 38 Ethereum or $68,030.

Wednesday May 19, 2021 @1pmET--- Register Free Here

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By CultureBanx Team

• Square closes on $350M TIDAL acquisition for a bigger stake in the music biz
• TIDAL will provide licensing deals with major record labels and recording artists who are involved with the company
  

Jay Z no longer has “99 Problems” since TIDAL’s $350 million Square acquisition finally closed. The financial services platform Square (SQ -0.90%) acquired 80% ownership in TIDAL, along with licensing deals with major record labels and recording artists who are involved with the company. Square wants to diversify its portfolio by taking advantage of TIDAL’s existing cultural fanbase, and of course its Cash App platform has risen to success thanks to hip hop influencers. TIDAL’s most recent reports from 2018 showed a loss of $37 million, but perhaps there's something bigger at play here for music streaming and artists rights?

Why This Matters: Even though the deal was previously announced in March, Dorsey and Jay-Z just closed the deal on Friday and have solidified what could become the next big record label and music streaming platform. Square has the capital to spend, with Square reporting $3 billion in revenues in Q3 2020 along with $794 million in gross profits. It’s important to remember that TIDAL hasn’t taken off the way some would have imagined, but its existence is a cultural milestone that can't be denied. Jay-Z acquired the company in 2015 for $56 million, and at the time, TIDAL was valued at $600 million just two years later.

By CultureBanx Team

• Simone Biles leaves Nike to align with women’s first brand Athleta
• The U.S. activewear clothing industry is valued at $55B
  

As the most decorated woman in world championship history, Simone Biles, is ending a nearly six year deal with Nike (NKE +0.70%) and taking her talents over to Athleta. The gymnast just inked a sponsorship contract with Athleta, a Gap (GPS +2.60%) brand fitness apparel company. Does this Athleta partnership exemplify a change in the nearly $55 billion U.S. activewear clothing industry, and start to narrow the pay gap for sponsorship of women in sports?

Why This Matters: The Gap has plans to expand Athleta, which they bought in 2008, a brand it hopes can draw new customers who want to wear athletic clothes to the gym, on the weekends, and even to work. Biles is clearly part of that plan to bring in a new consumer base as it’s set to open 20-30 stores this year. The retailer does not break out Athleta's annual sales, but the brand had more than 190 stores. In Q4 2020, the company claimed Athleta net sales were up 29%, and same-store sales rose 26%.

By CultureBanx Team

• A fourth stimulus check is unlikely as the economic damage from the pandemic eases
• Spending on credit and debit cards for stimulus recipients grew by 12.7% compared to the 2.8% for non-recipients
  

The message being delivered by the Biden administration around a fourth stimulus bill and the possibility of another check for American’s, well that depends on Congress. More than 164 million stimulus payments of $1,400 have been sent out since President Biden signed the $1.9 trillion American Rescue Plan in March. As people continue getting vaccinated and offices are reopening, the economic damage from the pandemic is easing, which most likely means there won’t be another check coming your way.

Why This Matters: If there’s any doubt about whether Americans should get stimulus checks, consider the powerful impact they have on families, communities and the economy. In fact, stimulus-related spending in households with incomes less than $50,000 increased at 22% year-over-year (YOY), versus 11% for low-income households who had no additional funding, according to a new report from Bank of America Global Research.