Jump at the Chance to Dance
Tomorrow at noon, a 1986-'87 Fleer #57 Michael Jordan Rookie Card is set to IPO on Rally. The financials:
- • Market Cap: $40,000
- • Number Of Shares: 1,000
- • Price Per Share: $40.00
• Rookie Mistake?... Jordan's rookie year was '84, so why is the '86-'87 Fleer card recognized as his rookie card? Topps bowed out of basketball card production after the '81-'82 season. Fleer picked up the ball for '86-'87. There is a card that was printed by Star in '84-'85, but it's not considered MJ's rookie card. Star's is considered an "Extended Rookie Card" ("XRC"). That's because it was released in team packs as opposed to packs of random cards, so you knew you were getting a Jordan card when you purchased the "Chicago Bulls" sealed pack. That's cheating in the sports card market. Thus, the '86-'87 Fleer card became the "air" apparent mainstream rookie card.
• Not Much of a "Competition Problem"... Jordan's mythical status remains unmatched. The same can be said about his '86 Fleer Rookie Card. Today, it's the most recognizable and important card in the basketball card collecting hobby. Its status and value has also made it the most counterfeited. Rally has acquired 1 of the 312 certified PSA 10 grade cards in circulation (translation: gem mint condition, the best possible).
• "The Last Dance" Effect... has the Jordan memorabilia market reaching new heights. Just yesterday, Rally received a buyout offer of $165,000 for their '98 Game-Worn Signed Michael Jordan Jersey. Its Market Cap at IPO was $128,000 on March 13. Investors netted a 22.9% return in just 54 days. The hype is real. Since "The Last Dance" premiered on ESPN on April 19, The Action Network's Darren Rovell has tweeted about Jordan nonstop, like he's drunk on a Vegas vacation and his friends can't get his phone away from him. Unfortunately for Darren, Michael won't be coming to retrieve him.
• "You don't put a saddle on a mustang"... and like Rodman, there's no taming the MJ memorabilia market right now. Since Rally listed the card with a $40,000 Market Cap prior to "The Last Dance," its value has soared. On April 26, Goldin Auctions had a bid on the card for $48,000. Today, there's a bid for $51,000. That's 27.5% above the Rally IPO. In other words, someone is already paying 27.5% more (+ fees) for the same asset elsewhere. We wondered if Rally planned to change the Market Cap given the recent surge in value. Rally Co-Founder Rob Petrozzo chimed in:
• Counterpoint, Squashed... We understand that all things His Airness are trading at their highest valuations ever as a result of "The Last Dance." Things might cool off post-doc. They might not. That argument would be a cause for concern if Rally had raised the Market Cap from the $40,000 going rate prior to the docuseries. But they didn't.
• No Time Left on the Clock... Make sure you're logged into the Rally app at 12 PM EST tomorrow if you want to invest. This will likely be the fastest sell out on any fractional share alternative asset platform to date. Another record for the GOAT.
• UPDATE 5/8 (1 AM EST)... From who else, but Darren Rovell?:
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