Last weekend, a single basketball card sold for $12.9 million.
Yes, you read that right: nearly thirteen million dollars for a tiny piece of cardboard.
Granted, this wasn’t just any card. It was a “1 of 1” Logoman card signed by Michael Jordan and Kobe Bryant. With Bryant’s tragic death, there will never be another one like it. Scarcity pushed bidding beyond the $6 million that experts had expected — and the card ended up setting a new world record.
You might be wondering: who in their right mind spends so much money on a sports card? The answer is simple: the wealthy.
But as it turns out, they’re not just buying cards for fun — they’re treating “collectibles” like sports cards as serious investments.
Let me explain.
An Alternative to Stocks and Bonds
Most folks invest mainly in stocks, bonds, and ETFs. If they’re adventurous, maybe they’ll add some bitcoin.
But the rich invest differently. According to the Motley Fool, the rich mainly invest in alternative assets — for example, private startups and private real-estate deals like we focus on here at Crowdability, along with collectibles like art, watches, and sports memorabilia.
As of 2020, the wealthy held about half of their assets in these alternative investments, and less than a third in stocks. The remainder was in bonds and cash.
Why would they do such a thing?
Three Reasons the Wealthy Invest in Alternatives
For starters, investing in alternative assets provides diversification. So even if the stock market crashes, these assets can keep growing in value.
Furthermore, they offer a hedge against inflation. In inflationary times like we’re in today, that’s a valuable trick.
But perhaps most important of all, they can provide market-beating returns.
For example, over the last twenty-five years, startups have delivered annual returns of fifty-eight percent. That’s about ten-times higher than the historical average for stocks.
Meanwhile, according to the Sports Memorabilia Index, the average annual return from sports memorabilia from 2008 to 2021 was fourteen-and-a-half percent. That beats the S&P 500 by a huge margin.
And according to the Motley Fool, over the last decade or so:
- Wine has shot up 127% in value.
- Classic cars have gone up 193%.
- And rare whisky is up an astonishing 478%.
So, how can you get in on the action before these items become so valuable — and for just hundreds of dollars instead of millions?
Enter Courtyard
That’s where a startup called Courtyard comes into the picture.
Based in New York City, Courtyard is one of the fastest-growing collectibles marketplaces in the world. Just three years after its founding, it’s already raised $30 million from top venture firms including Forerunner Ventures, NEA, and Y Combinator.
Courtyard has reimagined how collectors can buy and sell items like sports cards, Pokémon cards, even comic books. Instead of forcing you to navigate the murky world of eBay auctions, Courtyard offers “mystery packs” — digital vending machines filled with real-world collectibles.
Here’s how it works:
- You choose a pack priced at $25, $50, or $100 for cards, or $200 for a comic book.
- Courtyard’s algorithm randomly assigns you an item from its massive inventory, which is stored in a secure vault.
- Before you buy, you can even see the odds of “pulling” a high-value card.
If you don’t like what you get, you have options. Courtyard will buy your card back instantly for 90% of its value, or you can list it for sale on Courtyard’s marketplace — which charges no seller fees. That means you can exit a trade almost immediately, a huge innovation in a market that’s traditionally been illiquid.
And if you love your pull? You can either have the card shipped to you, or keep it stored for free in Courtyard’s vault.
$50 Million a Month
The results of Courtyard’s innovations have been staggering. In January of 2024, it was selling about $50,000 worth of merchandise a month. Today, just 18 months later, that figure has skyrocketed to $50 million a month. The company says the average card on its platform changes hands eight times in a single month, making it the most liquid collectibles marketplace on Earth.
Courtyard is growing fast, and it’s still in its early days. As more and more investors wake up to collectibles being a legitimate asset class, startups like this could become the gateway for everyday people to participate — without needing to spend millions on a Jordan/Bryant card.
And who knows?
Your $25 pack might be the first step toward owning the next $12.9 million collectible.
Happy Investing,
PS: Knowing the best time to buy and sell sports cards is critical to investment success. For example, prices tend to be lowest during the off-season, and highest during the season. That’s why NFL stars are reaching their peak prices now — and why August would be a good time to bargain hunt for NBA player cards. A company called cllct just put together a timing guide to help. You can check it out here, for free »
Best Regards,
Founder
Crowdability.com
