A16z gets ‘digi-physical’ with $17M funding for IYK

IYK uses NFC chips in merchandise for easy authenticity verification, offering NFT rewards and brand exclusives to customers

article-image

Source: IYK on X

share

Replicating designer merch isn’t a far-fetched idea. A bold few may indeed attempt it, proudly displaying what appears to be genuine accessories.

Web3 startup IYK, which stands for “If You Know,” emerged with the concept of ensuring the legitimacy of fashion items and other merchandise, while offering fans unique consumer interactions.

On Thursday, IYK, co-founded by Ryan Ouyang and Christopher Lee, revealed that it raised $16.8 million in seed round funding. 

This round was spearheaded by A16z crypto and included participation from Collab Currency, Lattice Capital, 1kx, Synergis Capital, among others.

IYK — serving clients such as Adidas, 9dcc and VÉRITÉ — is founded on the idea of embedding NFC (near-field communication) chips within merchandise or apparel. 

This technology enables consumers to effortlessly tap their smartphones on items like T-shirts to confirm their authenticity. 

In exchange, customers receive NFTs and the possibility of exclusive offerings from brands. 

Meanwhile, businesses gain insights into their merchandise ownership and maintain direct communication with customers.

Ouyang, one of the co-founders, shared IYK’s journey in a recent X thread

He recounted how he crossed paths with his partner, Lee, in the summer of 2021 on Discord. Together, they ventured into the world of Web3 projects, ranging from NFT sniping bots to online scavenger hunts.

One day, Ouyang found himself frustrated while waiting in a Ticketmaster queue to purchase tickets for a John Mayer concert. Despite being a frequent concertgoer for Mayer’s shows and a top 0.01% streamer, he had to compete against ticket-snatching bots for seats.

This experience made him realize that artists lacked the tools needed to maintain a strong connection with their real-world audience and devoted fans.

The realization sparked the idea that eventually evolved into IYK. After acquiring NFC chips, they set out to create a prototype of their concept.

IYK recently partnered with Adidas for an exclusive limited shirt release tied to NFT NYC 2023. In this collaboration, they created a total of just 152 shirts. 

Loading Tweet..

The company defines its platform as a user-friendly gateway accessible to brands, musicians, artists and creators of all kinds to help them create “digi-physical” products without requiring technical expertise.

IYK’s recent fundraising is noteworthy in light of the tough funding environment for blockchain startups prevailing today.

The company secured this round after participating in the A16z Crypto Startup School, a twelve-week accelerator program hosted by the venture capital firm, focused on supporting emerging startups within the sector.

Blockchain fundraising has been challenging due to a prolonged slowdown in funding, heightened scrutiny and concerns about the macroeconomic environment.


Don’t miss the next big story – join our free daily newsletter.

Tags

Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

MON - WED, MARCH 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience:  Attend expert-led panel discussions and fireside chats  Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts   Grow your network […]

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

logo.jpeg

Research

Akash is a general-purpose compute platform with GPUs, storage, LLM training or inference, and validator hosting through its two-sided marketplace.

article-image

The SEC could allow half a dozen or more such funds to launch at once, Ark Invest CEO says

article-image

2023 saw a decline in a16z crypto funding, but the behemoth VC firm teased what it’s excited for next year

article-image

“Iran Unchained” launched a new version of its grant platform to make donations to activists easier

article-image

The stablecoin marks the first time a regulated European bank has made a euro-pegged stablecoin available on a crypto exchange

article-image

Build it and they will come, perhaps, but making crypto easier to use is turning out to be just as important

article-image

Amid moves by Itau Unibanco and Nubank, the country could serve as “a proof of concept” for TradFi-crypto integrations, industry research exec says