The recent surge in prices for Pokémon cards has transformed collecting from a children’s pastime into a significant market for collectors and investors.
Historically, Pokémon cards were primarily seen as toys and gaming pieces.
But rare cards like first edition Charizard and Pikachu illustrator cards have sold for hundreds of thousands of dollars at auction, highlighting how Pokémon cards are increasingly being recognized as valuable collectibles, on the same level as fine art and rare coins.
For example, in 2020, a mint-condition Charizard card sold for over $300,000, attracting interest from traditional collectors, celebrities, and investors.
The Guinness World Record for the most expensive Pokemon trading card sold in a private sale was set last year in Dubai, when a Pikachu PSA 10 illustrator card was purchased by YouTuber Logan Paul for $5.275 million.
Diversifying your investments is an important strategy, and adding Pokémon cards could help balance out more traditional investments like stocks and bonds.
Amid the uncertainty caused by the COVID-19 pandemic, demand for rare Pokémon cards has risen, suggesting they could offer some protection at a time when other investments are struggling. But it’s also important to be cautious.
The value of cards can fluctuate greatly and is often influenced by trends in the collecting world.
It’s important to do thorough research and speak to a collectibles expert before making a significant investment in Pokémon cards.
As with any investment, there are risks, which potential investors should consider carefully in light of their financial objectives and risk tolerance.
It’s unclear whether the current craze around Pokémon cards will last: the recent price hikes could be due to nostalgia and social media, leading to a temporary surge in demand.
Historically, markets such as comic books have seen a similar trend of an initial boom followed by a decline in value.
Pokémon, on the other hand, has maintained a strong and growing fanbase for over 25 years, which may indicate more stable interest.
The brand’s strategic releases and collaborations, as well as its continued popularity in gaming and media, have contributed to continued demand.
The value of Pokémon cards depends on several factors, with some cards being much more valuable than others.
The first is rarity: cards printed in limited numbers or used for special events tend to be very popular.
For example, the Pikachu illustrator card is extremely rare and highly prized due to its unique history and limited distribution.
The condition of the card is also important: cards that are in pristine condition, without damage or wear, are highly valuable.
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Collectors often seek out cards that have been professionally graded by companies like PSA or Beckett, which provide a reliable assessment of the card’s condition.
The age of the card also plays a role: cards from the original 1999 base set are highly prized, especially the first edition cards, as they represent the beginning of the Pokémon card phenomenon.
These cards have a nostalgic appeal and are considered the basis of a serious collection.
The popularity of the Pokémon depicted on the card also plays a big role in its value: iconic characters such as Charizard, Pikachu, and Mewtwo are popular among collectors, and cards featuring those characters often command high prices.
Current trends and the widespread popularity of the Pokémon brand can affect the value of cards: when new Pokémon media, such as a new game or movie, captures people’s attention, interest in the cards tends to increase.
This means that staying informed about the latest developments in Pokémon could be beneficial for potential investors.
Additionally, you should also consider making regular visits to pop culture stores to check out the latest editions.
As with any investment, potential investors should weigh the risks and rewards, stay informed about market trends, and perhaps most importantly, maintain a true appreciation for the rich history and cultural significance of Pokémon cards.
Hassan Tamimi is CEO of The Little Things ME.
Updated: July 9, 2024, 4:00 AM
