03/01/2021 / in Investments

🧦 Unisocks 🧦

What is SOCKS? In 2019, Uniswap announced Unisocks, a 500 max supply token that represents a redeemable physical Uniswap branded sock. Upon redemption, 1 SOCKS token will be burned, one receives a physical pair of unisocks + a NFT of the physical pair one owns. Today, over 1/3 of the total supply of socks have been redeemed. More:

🧦 As a Symbol / Relic

Unisocks is one of a kind, both tangible and intangible: both natively and digital and can be converted to physical goods. Although SOCKS is not strictly an NFT, they still belong as digital collectibles as they can be traded permissionlessly. It is the first Defi collectible and the first onchain clothing brand. Unisocks is setting a precedent for all future cryptofashion and a leading scarce, digital commodity.

Many collectors are into things such as vintage cameras, antique IBM or Apple computers, ancient Chinese porcelains, Picasso paintings, and so on but creating a market for these valuable goods can be difficult and tracking their whereabouts is even more challenging. Unisocks is a digital revolution of tokenizing culturally valuable items that also leave a digital trace, allowing more people to enjoy collectibles. This marks a social shift away from physical traces of collectibles and commodities, to digital traces as seen in DeFi. We believe Unisocks is an ancient relic of DeFi’s early days.

While many are still unsure which projects in today’s DeFi space will eventually come out as a winner, we believe Unisocks will succeed regardless of what other NFTs or projects win. Even in the case of Uniswap failing to gain traction, Unisocks will still maintain its status as a trendsetter in digital goods, a foundation for the future of finance and value as a historical relic of DeFi.

🧦 As a Veblen / Luxury good

SOCKS appear to have Veblen properties, where price and public attention tend to drive each other. Currently, several big names in crypto have talked about Unisocks due to its decreasing supply of un-redeemed supply and the rise in price. We believe future generations will be less attracted to physical luxuries and collectibles such as Rolex and jewelries, and more interested in socially significant digital goods.

🧦 Current SOCKS market outlook

SOCKS first reached $10,000 in September 2020 and has slowly traded up to over $100,000 in Feb 2021, 10x in just 5 months. Currently SOCKS have a market cap of around $30 Million, and we expect SOCKS to trade much higher in the future as the desire to hold an original collectible grows and DeFi continues to thrive. At the time of writing, 185 of 500 SOCKS have been redeemed and the pool only has 11 SOCKS subject to the bonding curve. 304 SOCKS are being privately held by collectors. The SOCKS/ETH trading pair provides 24/7 buy/sell liquidity as opposed to other collectibles in the market. This allows also for collectors to enter without worrying if they are unable to liquidate their collectibles. You can purchase a fraction of a sock.

We do not recommend redeeming Unisocks, as generally, sealed collectibles always retain more value than redeemed / opened collectibles.

eGirl Capital currently wears multiple SOCKS.

Written by: CL & Eva Beylin

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