Between August and September, interest in "minting physical Pokémon cards into redeemable NFTs and trading them on-chain" intensified. According to various industry media and data sources, monthly trading volume in this market segment reached approximately $124.5 million in August 2025, a roughly 5.5-fold increase from the beginning of the year. This market excitement coincided with the launch of CARDS, the native token of the Solana ecosystem platform Collector Crypt. Public data indicates that CARDS launched on August 29th. The token is related to Collector Crypt's Pokémon card tokenization, pack drawing, and secondary trading business. Within days of the launch, CARDS's fully diluted valuation was reported to be between $300 million and $600 million. Trading activity is primarily driven by Solana's Collector Crypt and Polygon's Courtyard; the latter's core process involves warehousing graded cards, 1:1 minting, and redemption. Disclaimer: This article does not constitute investment advice. Readers are advised to strictly abide by local laws and regulations and refrain from engaging in illegal financial activities. 1. A Hot Trend: On-Chain Pokémon Card Trading Explodes in August Between August and September, the model of "minting physical Pokémon cards into redeemable NFTs and trading them on-chain" saw a significant surge in volume. Multiple media outlets and data sources reported that trading volume in August reached approximately $124.5 million, a roughly 5.5-fold increase from the beginning of the year. This statistic has been cited repeatedly in crypto media and trading platform press releases. Trading activity was primarily driven by Collector Crypt from the Solana ecosystem and Courtyard from the Polygon ecosystem. Collector Crypt organizes trading around the "physical card → on-chain NFT → redeemable" process and launched its platform token, CARDS, on August 29th. Projects and research websites claim its fully diluted valuation reached approximately $450 million within a week of its launch. The platform uses a "Gacha" (gacha/pack draw) mechanism as a user entry point, and maintains liquidity through buybacks and market making.
Courtyard provides a business path on Polygon for the storage of graded cards (PSA/CGC/BGS), 1:1 minting, on-chain circulation, and final redemption, and attracts trading demand with the method of "digital pack opening - physical card comparison." Its official website publicly explains the service elements of "digital pack - physical card, storage and insurance."
Regarding transaction scale and participation, CryptoSlate reported that "the transaction volume of tokenized Pokémon cards reached US$124 million in August, a 5.5-fold increase from the previous period." In addition, many industry articles and platform information such as Yahoo Finance provided similar data points.
II. RWA Breaks the Circle and NFT Rejuvenates
In recent years, real-world assets (RWAs) have expanded from the tokenization of financial assets such as bonds and real estate to the field of collectibles. Physical collectibles, represented by playing cards, bind offline physical objects with on-chain certificates through a process of "professional rating — warehousing and custody — 1:1 minting — redemption," forming a digital ownership carrier that can be traded 24 hours a day globally. Courtyard disclosed in its public materials that, using Polygon as the underlying layer, physical cards are stored in third-party professional vaults and minted into NFTs; Messari's introduction to this model also emphasizes the correspondence between "physical storage and on-chain ownership." Polygon officials once listed Courtyard in a special article as a representative platform for "on-chaining analog collectibles such as Pokémon." Before this wave of enthusiasm, the NFT market was generally inactive. DappRadar's "Q2 2025 Industry Report" shows that NFT transaction volume fell to approximately $867 million in the second quarter, a 45% decrease from the previous quarter, but sales volume increased to approximately 14.9 million transactions, reflecting a decline in average order value and a "low-price, high-frequency" structure. DappRadar's monthly observations for July and August indicate that the NFT market returned to a higher range in transaction volume and number of transactions since February 2025, with Courtyard-related collectibles performing particularly well in August. Integration with the collectibles sector accelerated in August. Multiple media outlets and data sources reported that monthly trading volume for tokenized Pokémon cards reached approximately $124 million in August 2025, a roughly 5.5-fold increase from the previous period. Yahoo Finance and CryptoSlate verified this figure. The Block reported that after the Solana ecosystem's Collector Crypt launched its platform token, CARDS, on August 29th, combined with gacha and buyback mechanisms, the cumulative volume of randomized Pokémon card trading increased. Research website Dropstab reported that CARDS reached a fully diluted valuation (FDV) of approximately $450 million within a week of its launch on August 29, 2025, and had already generated approximately $75 million in revenue in 2025. The report also noted that this revenue primarily came from user spending generated by the gacha mechanism, citing "approximately $5.7 million in weekly user spending" in recent weeks. Looking at the distribution of categories and chains, collectibles and redeemable scenarios are driving new NFT transaction momentum, and on-chain activity is no longer entirely dominated by PFP projects. DappRadar noted in its August observations that the market performance of Courtyard-related collectibles briefly outperformed some established avatar projects. Furthermore, on-chain NFT activity is fragmented across multiple public chains, with ecosystems like Base and Solana showing significant monthly market share fluctuations (varies across months and metrics). This type of "physical endorsement + redeemable" transactions will become a key source of growth for NFTs in the second half of 2025.
To sum up the above information, the combination of collectible RWA and NFT presents a structure of "parallel physical ownership confirmation and on-chain circulation"; after a period of sluggish transactions, related platforms introduced new demand through custody and redemption mechanisms, driving a rebound in transactions in July and August. Subsequent trends still need to be tracked in combination with monthly reports and project disclosures.
III. Analysis of the Tokenization Model of Physical Cards
These card platforms generally adopt a closed loop of "rating — warehousing — minting — trading — redemption". Taking Courtyard as an example, cards are graded by a third-party agency before being stored, and the platform mints corresponding 1:1 NFTs on Polygon. Holders can submit redemption requests at any time, completing KYC and covering shipping and taxes. Official documentation also explains that cards are held and insured in a professional warehouse in the US, supporting global redemption and direct shipment from third-party e-commerce platforms or rating agencies. Collector Crypt utilizes a "Gacha (random pack opening) + instant buyback" mechanism on Solana. The official website lists the instant buyback ratio for different pack types as approximately 85% or 90% based on real-time pricing, with pricing referenced to transaction data on platforms like Altcoins and eBay. Cards obtained from pack openings can be traded on-chain or repurchased by the platform at a proportional rate. The Block reported that the platform offers buyback quotes on-chain at "approximately 85%–90% of the real-time indexed value" to maintain liquidity and price discovery. Both platforms prioritize redemption as a core feature. Courtyard's process involves warehousing and insurance, minting NFTs on-chain, and users buying, selling, or redeeming physical cards in the marketplace. Collector Crypt's process involves warehousing cards graded by PSA/CGC and other standards, generating redeemable NFTs on-chain. Users then obtain cards through random pack openings and can choose to resell them on-chain or sell them back at the instant buyback rate. Both Coingecko and DropsTab explain the "physical card-to-NFT, redeemable" structure. Regarding redemption and fees, Courtyard explicitly requires identity verification before redemption, and users are responsible for shipping, taxes, and necessary handling fees. Community user feedback indicates that the combined costs of taxes, insurance, and shipping for a single shipment can be substantial, with the specific amount varying depending on the destination and time of delivery. Regarding custody and sourcing, the platform emphasizes 24/7 security and insurance management by professional warehouses. Courtyard's public information mentions its use of professional custody solutions such as Brink's. Collector Crypt's external information often cites industry entities such as PSA, PWCC, and ALT as its card sources and custody partners.
The above process connects offline identification, warehousing and logistics with on-chain registration, trading and redemption, so that “physical ownership confirmation — digital registration — redeem and delivery” can be completed under cross-regional conditions.
Fourth, from past rights protection, platform ownership and securities law to see compliance minefields
In terms of intellectual property rights, The Pokémon Company filed a lawsuit in Australia against unauthorized “Pokémon-themed NFT/chain games”. In December 2022, the Federal Court of Australia, upon application by The Pokémon Company, issued an injunction against the "Pokéworld" project and related entities, prohibiting them from releasing NFTs bearing the Pokémon brand or claiming an affiliation with The Pokémon Company. Multiple media outlets and law firm commentaries documented the details of the case and key points of the ruling. Regarding platform processes and ownership arrangements, Courtyard's public documentation and terms of service explain redemption, know your customer (KYC), and ownership transfer. Official documents indicate that cards are held in a warehouse and insured, and holders can submit redemption requests at any time. Redemption requires completing KYC and paying shipping and taxes. To prevent abuse, redemptions to other Brink's locations are not supported. The terms of service also emphasize the platform's positioning as a matching marketplace, with assets supplied by sellers. Regarding the transfer of ownership, the terms cite the Uniform Commercial Code (UCC 2–401) and indicate that the platform does not transfer legal ownership of physical assets. The transfer of ownership between buyers and sellers is governed by relevant laws and mutual agreements. The terms also include risk warnings and an arbitration clause. In its product description and external communications, Collector Crypt prioritizes "random pack opening (Gacha) + instant buyback" as its core mechanics. Its website and social media channels mention "buybacks at approximately 85%–90% of fair market value" to provide liquidity and an exit path. Third-party interpretations also highlight the buyback ratio and the design of "replicating the physical pack opening experience" as key features of the platform. Regarding the application of securities laws, regulators provide references to previous NFT enforcement cases. In September 2023, the SEC reached a settlement regarding the Stoner Cats NFT issuance, deeming it an unregistered securities offering. The case has been hailed by media outlets and law firms as a landmark case for NFT compliance, though some commissioners have expressed dissent, arguing that the boundaries of applying the Howey test to NFTs should be clarified. V. Outlook: Is the Tokenized Trading Boom Sustainable? From a market perspective, the surge in collectibles trading occurred against a backdrop of overall volatility. In the second quarter of the year, mainstream tracking reports indicated a decline in total NFT transaction value compared to the previous quarter, while the number of transactions increased, demonstrating a low-price, high-frequency trading structure. A rebound in July and August brought monthly data back to relatively high levels, but the continuation of this trend remains to be seen in subsequent monthly reports. In terms of pricing and liquidity, some platforms adopt a "random opening combined with instant buyback" approach. This involves indexing prices based on transaction data from external e-commerce and trading platforms and offering buybacks at a certain discount. This mechanism can improve transaction depth in the short term, but it also introduces reliance on external price sources and market-making funds. If external transaction samples are distorted, data collection is delayed, or the size of market-making funds fluctuates, these factors may be transmitted to the on-chain through buyback pricing. Custody and redemption remain key operational risks. Platforms typically require identity verification before redemption, and users are responsible for shipping, taxes, and insurance costs. In cross-border scenarios, differences in customs clearance, logistics, and destination tax systems can lead to timeliness and cost uncertainties. In certain periods, physical delivery may also be out of sync with on-chain processes. The availability of the underlying network also requires continuous monitoring. Public chains have experienced block generation or finality anomalies in certain months. Platforms should clearly define exception handling and delay risks through announcements and terms and conditions. Compliance focuses primarily on two key areas: intellectual property and brand licensing. Injunctions have been issued against unauthorized "Pokémon-themed" projects in the past. Second, the boundaries of securities law and information disclosure. Overseas regulators have taken enforcement action against specific NFT financing cases, highlighting regulatory requirements for projects regarding issuance, revenue projections, and marketing communications. Furthermore, wash trading, price manipulation, and industry-wide security incidents, as highlighted in numerous annual reports and special reports by on-chain analysis firms, may still impact funding and participation in this market segment through confidence channels. From an observational perspective, several quantifiable indicators can be used as a starting point. First, redemption ratios and redemption timelines reflect the performance and user preference of the "physical endorsement + redeemable" model. Correspondingly, transparency regarding warehousing, insurance, and logistics (warehouse names, insurance coverage, and exception handling) should be consistently disclosed. Second, changes in the discount ratio, fund pool size, and funding sources for instant buybacks determine the secondary market's capacity and price stability. If a platform introduces external quotes or price adjustment rules, the frequency of rule updates and the method of public disclosure must be monitored simultaneously. Third, changes in the proportion of "open package transactions" and "secondary resales" in the transaction structure affect revenue composition and sustainability. Combined with monthly active users and average order value, this can more clearly determine whether popularity stems from one-off events or stable demand. Fourth, fluctuations in market share and fees across different public chains, such as confirmation times, failure rates, and average fees during peak periods, will directly impact user experience and transaction density. Fifth, the level of transparency of authorization and cooperation documents, including the key points and update schedule of agreements with rating agencies, custodians, and price data providers, helps define ownership chains and compliance boundaries. Sixth, the verifiability of data caliber and statistical methods, especially the calculation of monthly transaction volume, active users, and revenue, should be cross-validated with multiple sources whenever possible to avoid bias caused by a single source.
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