BTS fans Criticize group’s NFT project, cite Environmental harm

After South Korean music giants, BTS announced their plans to enter the NFT space fans revolted online. The initial backlash from fans did not discourage the group’s management agency, Hybe Co. The agency vowed to move forward with the project of digital photo cards.

John Kim, the project leader of HYBE America, is currently overseeing the release of the tokens. “We believe NFTs have the potential for expansion and hope they will provide fans with more varied experiences and opportunities to express themselves,” said Kim.

BTS is known as one of the industry’s most profitable groups with a fan base in the tens of millions. With BTS as the helm, HYBE generates over $200 million a year in merchandise and licensing sales.

Fans have criticized the NFT plans as it is perceived to have harmful environmental impacts. Last month, hashtags were created on Twitter to oppose the move and have continued to trend.

“We all love BTS, but destroying the environment in any way is not how we want to support them,” said Mel Palmer, a 31-year-old BTS fan from Philadelphia, who has a large TikTok following and has helped mobilize online criticism.

Shannon Melick, a participant in the anti-NFT campaign, has said that the tokens pose fans with financial risks due to crypto’s volatile nature. “I worry about fans losing money,” she said. “It felt predatory that the company was pushing this on fans.”

HYBE has yet to announce how its tokens will be sold and traded. The company stated that it is still discussing ways to minimize losses from crypto price fluctuations.

Physical BTS photo cards have been collected by fans as some of these memorabilia sell for thousands of dollars online. Using blockchain technology, NFT versions of these cards can be a method to counter widespread counterfeiting.

Source: The Wall Street Journal