A blockchain-backed LeBron James dunk highlight sold for $208,000 on NBA Top Shot last month, and another James “Moment” sold for $179,000 on Tuesday.

NBA Top Shot, created and run by Dapper Labs, has been a huge success for the NBA, which licenses its content to the Vancouver-based company. Now, other leagues are taking notice.

Sources told Front Office Sports that MLB, the NFL, and the NHL have been in talks with Dapper Labs and others in the NFT space to create marketplaces like Top Shot.

“We’ve talked to a lot of other major leagues,” said Caty Tedman, head of partnerships at Dapper Labs. “We already know we’re not going to build everything, so we are talking not only to other sports organizations but other builders who might be doing cool stuff.”

Top Shot — created and run in partnership with the NBA and the National Basketball Players Association — has been open to the public since October and has netted $396 million in sales so far. 

NFTs are an attractive option for leagues seeking to recoup revenue lost to the year-long pandemic, though it’s no guarantee they will replicate Top Shot’s success. Major League Baseball’s MLB Champions NFTs haven’t been nearly as lucrative as the NBA’s.

Players regularly talk up their Top Shots — which makes sense since they get a cut of the sales — on social media. The NBA’s global audience is also beneficial; around half of Top Shot’s sales come from overseas.

“The engagement we’ve seen around NBA Top Shot since the start of the season has exceeded our expectations,” NBA executive Adrienne O’Keeffe told Front Office Sports.

DraftKings is offering up to $1.15 billion in convertible notes, adding fuel to rumors that it is seeking to grow its reach through mergers and acquisitions.

Convertible notes — essentially bonds that can be turned into stocks — have become a popular method of raising capital, with Peloton, Square, Uber, and Tesla all recently issuing that form of debt.

DraftKings will issue $1 billion, and offer an additional $150 million in convertible notes to its underwriters. Terms such as interest on the notes will be determined in negotiations with investors who purchase them.

Because DraftKings already has ample cash reserves of $1.8 billion, the fund raise stokes speculation that the betting and fantasy sports company could be looking to acquire other businesses in gambling and adjacent sectors. 

• DraftKings is believed to be among the suitors for TheScore, a Canadian sports betting and media company. 
• DraftKings is reportedly also eyeing Meadowlark Media, the X Games, and poker company Run It Once as potential acquisition targets.

Sportsbooks have invested heavily in acquiring new customers, because people tend to be brand loyal once they have established a relationship with a betting hub.

DraftKings’ stock, like other gambling stocks, has had a fantastic year, growing nearly sixfold since last March.

Tiger Woods is back in video games for the first time since 2013. 

Video game publisher 2K announced it has agreed to an exclusive, multiyear partnership with Tiger Woods. 2K, a subsidiary of Take-Two Interactive, also announced the acquisition of privately held Canadian developer HB Studios.

HB Studios is the developer behind “PGA TOUR 2K21.” The game has sold over two million copies since its August 2020 launch, according to Take-Two Chairman and CEO Strauss Zelnick. Woods will serve as Executive Director of the PGA TOUR 2K series.

“I am looking forward to making my return to the video game landscape, and with 2K and HB Studios, I’ve found the right partners to make it happen,” Woods said.

Woods first became involved in gaming back in 1997 after signing an exclusive name and likeness deal with EA Sports for the company’s PGA TOUR series. The 11-time PGA TOUR Player of the Year was the face of the game from 1998 to 2013. 

The decision for Woods to partner with Take-Two follows the company’s strong Q3 report in February. Take-Two generated $814.3 million in revenue compared to analyst estimates of $752.76 million for the quarter. 

Woods also currently has deals with Nike, Taylor Made, and Upper Deck. Between 2019 and 2020, Woods made $60 million in endorsements. 

Despite being seriously hurt in a car accident last month, the golfer is set to make a full recovery. “I’m honored to take part in this opportunity and look forward to sharing my expertise and insights as we build the future of golf video games together,” said Woods.

PointsBet acquired business-to-business software company Banach for $43 million in a move to expand its reach in the U.S.

The Australia-based sports betting company will pay 55% cash, issue 1.75 million shares, and spend $4 million to assist in the integration process.

Banach will add to PointsBet’s platform with its in-play bets and algorithms. In-play betting allows spectators to make bets — like who’s going to catch the next pass — during the game.

“The trend in this industry, especially in the U.S., will be all around in-play betting,” PointsBet CEO Johnny Aitken told CNBC. “Within three years, our expectation is roughly 75% of bets will be placed in-play.”

PointsBet isn’t the first to make the move. Competitor FanDuel had the same idea in partnering with Simplebet, whose software also allows users to wager on real-time odds.

Aitken thinks the acquisition — rather than a partnership — will give his company a leg up. “That’s the opportunity for PointsBet,” he said. “We own our technology.”

• Earlier this year, PointsBet agreed to an equity deal with the NHL, giving the league around $556,000 worth of stock. 
• It also made a deal with NBCUniversal for in-game betting valued at $500 million, with the right for NBC to increase its stake to 25% from 4.9%.

By 2027, Grand View Research believes the global online gambling market will reach $127.3 billion. U.S. sports betting revenue is expected to reach $2.5 billion by the end of the year.