Unpacking The Web3 Strategy Behind Louis Vuitton’s €39k Digital Treasure Trunk NFTs

Forbes Business Retail Unpacking The Web3 Strategy Behind Louis Vuitton’s €39k Digital Treasure Trunk NFTs Stephanie Hirschmiller Contributor Opinions expressed by Forbes Contributors are their own. I cover fashion, luxury and the metaverse from Paris and London. Following Jun 7, 2023, 05:17am EDT | Press play to listen to this article! Got it! Share to Facebook Share to Twitter Share to Linkedin A rendering from the Louis Vuitton digital Treasure Chest NFT collection. Louis Vuitton Louis Vuitton is releasing an ultra limited edition non fungible token collection called Treasure Trunks. The price for each is €39,000 (around $41,600) and only a few hundred will made available. The Digital Treasure Trunks According to a statement by the maison, the trunks “will act as portals into the world of Louis Vuitton , revealing new, limited products and experiences through immersive drops which will be progressively launched at regular intervals throughout the year.” Moving forward, owners will get the opportunity to purchase an ongoing series of digital keys that will unlock corresponding limited edition products. As confirmed by the brand via email, each of the initial digital Treasure Trunks along with the purchased keys will come with corresponding physical product with which they are “twinned.” The initial digital Treasure Trunks are ‘soulbound’ or non-transferable tokens. The keys are regular NFTs and, as such, also confirmed by the brand, can be sold at secondary market with the purchaser receiving the connected physical product. As long as this has not already shipped to the original client of course. While Louis Vuitton will give clues as to the product behind each key, its exact nature remains secret until it is unlocked. How It Works MORE FOR YOU Lionel Messi Agrees To Join Inter Miami: Reports At The Bleeding Edge Of Ukraine’s Counteroffensive, The Ukrainian Marine Corps Switches Up Its Tactics Twitch Hit With Backlash And Boycott Threats—As Streamers Say New Rules Threaten Their Income On June 8, the maison will open a dedicated site inviting interested parties to register. There, according to Vogue Business, they will be invited to connect their cryptocurrency wallets and fill out personal details. (Among other things, this allows them to be vetted to ensure they are not bots). On June 14, during Viva Tech , Louis Vuitton will give further information to prospective purchasers who have passed the selection process. This will be followed by an invitation to purchase on 16 June. The digital Treasure Trunks will be available for purchase in United States, Canada, France, United Kingdom, Germany, Japan, and Australia. Narrative, Mechanics And Positioning Louis Vuitton started life in 1854 as a malletier and in the ensuing 160 odd years has consistently deployed this trunk making heritage throughout its storytelling. That Treasure Trunks, its genesis NFT collection, centers around digital versions of the aforementioned makes total sense. The mechanics of the drop both guarantee and reinforce the Maison’s luxury positioning. While the tokens can be purchased via either fiat or cryptocurrency, it’s notable that the €39,000 price tag is quoted in fiat which eschews devaluation due to the volatile nature of crypto. In that the initial tokens are soul-bound (an NFT subset born out of gaming) gives Louis Vuitton ultimate control as to the holders of its genesis mint. But what really distinguishes the Vuitton approach from its competitors —luxury or otherwise — is this. While Gucci or adidas for example are Web3 led or Web3 first, going all out to gain credibility and approval from Web3 communities like Bored Ape Yacht Club or that of G Money, Vuitton is resoundingly Louis Vuitton first and luxury first. The wider Web3 initiative under which the digital trunks fall is called VIA, meaning road. And this is undoubtedly only the start of the journey. MORE FROM FORBES The LVMH Approved Web3 Tech That Really Works For Retail By Stephanie Hirschmiller MORE FROM FORBES Step Inside The House Louis Vuitton Showed On Its Paris Runway Plus A New Immersive Exhibition By Stephanie Hirschmiller Follow me on Twitter or LinkedIn . Stephanie Hirschmiller Editorial Standards Print Reprints & Permissions