Labubu Surpasses NFTs in Cultural Impact and Tangible Collectibility

Labubu has rapidly emerged as a global cultural phenomenon, outpacing many non-fungible token (NFT) collectibles in public engagement, brand recognition, and emotional resonance [1]. Created by Hong Kong-Belgian artist Kasing Lung in 2015, the character—a sinister yet cute, elf-like creature—gained mainstream popularity after a 2019 partnership with toymaker Pop Mart brought its design into mass production as blind-box collectibles. The physical nature of Labubus, coupled with their limited-edition rarity and social media virality, has fueled a surge in demand. High-profile appearances, such as Blackpink’s Lisa carrying a Labubu accessory in 2024, further propelled its status into pop culture [1].

What sets Labubu apart is its unintentional alignment with the principles that many NFT projects once claimed to embody—rarity, exclusivity, and community-driven value—but in a tangible, accessible format. The blind-box model, where each purchase is a randomized experience, taps into psychological mechanisms similar to those found in gambling, reinforcing a sense of anticipation and excitement [1]. Unlike many NFTs, which remain abstract and largely confined to digital spaces, Labubu has created a shared physical experience that fosters real-world interaction and collectibility.

Celebrities including Rihanna, Kim Kardashian, and Dua Lipa have been spotted with Labubu accessories, adding to the character’s aspirational appeal and reinforcing its status as a lifestyle brand [1]. While NFTs have had their share of celebrity endorsements—such as Justin Bieber and Jay-Z—these are now often viewed through a lens of irony, as many high-profile NFTs have failed to maintain long-term relevance [1]. Labubu, by contrast, has avoided the stigma of the crypto hype cycle by maintaining a whimsical, less transactional identity.

Critics of NFTs often point to their intangibility and environmental costs as major drawbacks [1]. Labubu’s physical presence addresses these concerns by offering a collectible with a clear, tangible value. Moreover, its brand-driven storytelling and merchandising have created a more sustainable engagement model than the speculative trading dynamics that dominate much of the NFT market [1].

Analysts suggest that while Labubu might eventually explore digital integrations—potentially even NFT-based collectibles—such moves are expected to complement rather than replace its physical offerings [1]. The key to Labubu’s success lies in its ability to blend nostalgia, community, and pop culture in a way that many digital-only collectibles have struggled to achieve [1].

As the digital collectibles market continues to evolve, Labubu has demonstrated that a successful collectible is not necessarily tied to blockchain technology, but rather to a compelling brand narrative, community-driven value, and the tangible experience of ownership. In that regard, it has managed to succeed where many NFTs have failed [1].

Source: [1] Labubus have succeeded in every way that NFTs have failed (https://blockworks.co/news/labubus-succeeded-nfts-failed)