Alt Draws $31 Million From Investors for Sports Card Trading Platform

By James White Friday, March 12, 2021

The world of collectible card trading can be fraught with risk and uncertainty. It is often hard to anticipate the true value of a card at any given time, and more difficult still to avoid buying fraudulent items from online sellers. Luckily, ecommerce startup company Alt seeks to make the business of trading sports cards more transparent, allowing collectors to better understand the value of their collection and buy cards confidently.

“Alt is redefining alternative assets to include new asset classes that have historically been relegated to the territory of hobbyists and collectors, rather than investors,” Leore Avidar, CEO and founder of the startup ecommerce business, wrote in a blog post. “With Alt, we’re turning sports cards – and eventually watches, sneakers, and art – into investable assets.”

The business garnered impressive investor support between its seed and Series A funding rounds, raising new capital amounting to $31 million for the startup ecommerce company. Fundraising for the business was led by Seven Seven Six, with participation from other investors backing the startup company, including First Round Capital, Thirty Five Ventures, Addition, Box Group, and more.

A baseball card collection.

Sports Cards as Alternative Assets

Avidar founded the ecommerce startup company in 2020 with the goal to improve the liquidity of physical sports cards. As a self-proclaimed card collector and card investor, Avidar came up with the idea that would later develop into the ecommerce business and card-trading platform while searching for a rare Kobe Bryant card and experiencing the issues within the industry first-hand.

Today, the startup company allows users to buy, sell, and store physical cards using its ecommerce platform. In order to list a trading card on the exchange provided by the business, users must send the card to the company first. The card is then verified by Alt, photographed, stored, and listed on the website. There is no added fee for buyers when purchasing assets on the platform, and the startup ecommerce business only charges a small percentage of a collection’s worth each month to store it. Transaction fees for sales are rather small at just 1.5%.

The platform built by the ecommerce company also features a real-time valuation of the collections of its users, allowing investors to stay informed of the fluctuating value of their assets, much like a regular stock exchange.

Battling Ecommerce Giants in the Card Trading Market

While Alt offers competitive prices for its sports cards trading services, the startup business will still face competition from well-established marketplaces like eBay. According to the ecommerce giant’s “State of Trading Cards'' report, the company witnessed a 142% increase in domestic trading cards sales in 2020 compared to the previous year. Some individual sports cards even sold for over $500,000. eBay touts a market cap of $38.27 billion, with stock prices currently sitting at $56.24 per share.

About the Author

Headshot of James White

James White is a Michigan State University graduate with a BS in Environmental Biology. He is interested in reporting emerging trends in technology, especially with regard to alternative energy and environmental conservation.

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