Walmart (NYSE:WMT) shocked investors over the weekend with news that it is planning its own cryptocurrency, as well as a non-fungible token (NFT) collection. So what do you need to know about the Walmart crypto news?
Admittedly, the big-box retailer is not readily associated with technology or cryptocurrencies. However, the company said it is exploring new digital opportunities as it preps to enter the metaverse. This could help WMT stock, which has barely budged in the past year.
What Is the Walmart Crypto News?
Investors learned via trademark filings that Walmart is looking to make and sell virtual goods, such as electronics, home decorations, toys and personal care products. In other filings, Walmart revealed it wants to offer a virtual currency and NFTs.
According to the U.S. Patent and Trademark Office, Walmart filed seven individual applications on Dec. 30, 2021. Walmart said it is “continuously exploring how emerging technologies may shape future shopping experiences.”
Why It Matters
Walmart’s interest in cryptocurrencies and NFTs is further evidence of their growing mainstream acceptance. As a brick-and-mortar retailer, Walmart is one of the last companies analysts and investors would expect to push into the world of cryptos. The Walmart crypto news also shows how keen retailers, and businesses in general, are to explore the metaverse as a new way to reach consumers and drive sales.
More broadly, Walmart become the latest in a series of retailers to enter the digital realm. Nike (NYSE:NKE) filed in November for plans to sell virtual sneakers and fitness apparel. Later that month, it announced a partnership with Roblox (NYSE:RBLX) to create an online world called “Nikeland.” Then, in December, Nike bought the virtual collectibles company RTFKT.
What’s Next for Walmart
The immediate news that Walmart plans to branch out into cryptocurrencies and NFTs is not moving the stock today, especially with markets down across the board. But long term, the expansion into the metaverse could provide new opportunities to the retailer and help lift its stock, which, again, has underperformed over the past year.
Investors looking for reasons to buy WMT stock can add growth in the metaverse to their list.
On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.