CARDS Token Jumps 60% as Gacha‑Spin Volume Peaks, Driving Revenue to September Levels
Collector Crypt’s on‑chain trading‑card platform is seeing a resurgence in activity, with its native CARDS token rallying sharply amid record‑high gacha transactions.
Market movement
Over the past seven days the CARDS token has appreciated roughly 60%, lifting its price by 12% in the latest 24‑hour window. The month‑to‑date gain sits at an impressive 211%, bringing the token’s fully‑diluted valuation (FDV) to about $200 million. Despite the recent surge, the token still trades well below its September all‑time high, representing a roughly 73% discount.
When CARDS launched officially in August, the token’s market cap briefly approached the $1 billion mark, helped in part by a circulating supply that remains under 20% of the total issuance. The current price action suggests renewed investor interest, largely tied to the platform’s gacha mechanics.
Activity on the platform
Collector Crypt’s “gacha vending machine,” which offers users a chance to acquire tokenized Pokémon cards, recorded a near‑$20 million outflow between 5 and 12 January. That level of spend has pushed the protocol’s weekly revenue to $1.87 million – the highest figure since September. The revenue uptick has been complemented by an increase in token buybacks, also at levels not seen since the fall quarter.
Legacy tokenized‑card services, such as Courtyard, have mirrored this trend, reporting their strongest weekly earnings in the same period. The data points to a broader revival in the niche of on‑chain collectible trading cards.
Analysis
1. Gacha volume as a price catalyst
The correlation between the surge in gacha spins and the CARDS price rise is evident. Higher spend translates into more protocol fees, which in turn fund token buybacks. When the platform’s treasury repurchases CARDS, supply pressure eases and the price receives upward support.
2. Tokenomics and scarcity
With less than one‑fifth of the total supply circulating, each buyback has a pronounced effect on the token’s scarcity metric. This scarcity, combined with a tangible revenue stream from the gacha model, may be attracting speculative capital looking for short‑term upside in a market that has otherwise been muted.
3. Sustainability concerns
The recent numbers are impressive, yet they are anchored to a relatively narrow product (gacha spins for tokenized Pokémon cards). Should user enthusiasm plateau or regulatory scrutiny increase around gambling‑style mechanics on‑chain, the revenue and token price could face downward pressure. Diversifying use‑cases or expanding the card catalog could improve resilience.
4. Market context
The broader DeFi sector has been experiencing a consolidation phase, with many projects seeing modest price movements. CARDS’ performance stands out as a rarity, driven by tangible product usage rather than pure hype. This may signal that niche on‑chain collectibles can still generate meaningful economic activity when they tap into strong brand ecosystems.
Key takeaways
- Token rally: CARDS is up 60% week‑over‑week and 211% over the last month, with an FDV around $200 M.
- Revenue boost: Weekly protocol revenue topped $1.8 M, the highest since September, thanks to a $20 M inflow into the gacha machine.
- Buybacks: Increased buyback activity is reinforcing the price, echoing levels not seen since the token’s September peak.
- Supply dynamics: The circulating supply remains below 20% of total issuance, amplifying the impact of each buyback.
- Sector momentum: Other tokenized‑card platforms, such as Courtyard, are also reporting record‑high weekly earnings, indicating a broader revival in the on‑chain card niche.
- Risk outlook: The surge is heavily tied to gacha‑driven spend; sustained growth may require product diversification and careful navigation of regulatory considerations around gambling‑like mechanisms.
The CARDS token’s recent performance illustrates how on‑chain collectibles can generate real‑world economic activity and influence token valuations. Whether this momentum can be maintained as user interest evolves remains a pivotal question for investors and participants in the tokenized‑trading‑card ecosystem.
Source: https://thedefiant.io/news/defi/cards-token-surges-as-gacha-volume-hits-all-time-high
