Labubu Toy Craze: The Ups and Downs from Physical Bestsellers to Digital Assets

In 2024, a plush toy featuring a sprite character named Labubu has sparked a global craze. This toy is characterized by its round, fluffy body, wide-open big eyes, pointed ears, and a mischievous smile made up of nine sharp teeth, quickly winning the favor of consumers.

!7377605

Labubu is inspired by the creative vision of artist Long Jiaseng. Born in Hong Kong and raised in the Netherlands, his work is influenced by Nordic folklore and mythology, ultimately giving rise to the story series "The Monsters." Labubu debuted in 2015 but truly gained popularity only after collaborating with a toy company in 2019.

!7377606

In the first half of 2024, the "The Monsters" series generated sales of 6.3 billion RMB. In April 2025, the third-generation Labubu vinyl plush products sparked a buying frenzy in multiple countries. In May of the same year, a Labubu-themed digital currency was launched, which generated a lot of discussion in the short term but quickly fell into a slump. In June, an auction of Labubu artworks was held in Beijing, with a total transaction amount of 3.73 million RMB, including a humanoid Labubu that sold for 1.08 million RMB.

!7377657

Labubu's success is inseparable from its unique sales approach. The use of the blind box model adds excitement and uncertainty to purchases, attracting consumers to buy repeatedly in order to obtain rare styles. Experienced collector Desmond Tan states that the surprise element of the blind box is a major attraction, and he judges the contents by shaking the blind box, a behavior commonly seen at the point of sale.

!7377641

Labubu, as an outstanding cultural IP, has successfully crossed cultural barriers, gaining recognition from Asian cultures and admiration from Western celebrities. Its success can be attributed to three factors: cross-cultural global consumer product positioning, long-term creative accumulation and innovative breakthroughs, and China's complete industrial chain and mature industrial ecosystem.

!7377642

However, the digital assets related to Labubu have failed to continue the glory of the physical toys. This phenomenon is not uncommon in the cryptocurrency market. Take Pudgy Penguins as an example: although its physical toys have achieved significant commercial success, the value of its digital assets has fallen sharply. Similarly, once-coveted digital artworks like BAYC and CryptoPunks have also experienced a process of rising to a peak and then descending to a trough.

!7377626

This phenomenon reflects the high speculative nature and instability of the digital asset market. Even digital assets backed by physical products struggle to maintain high value over the long term. This highlights the investment risks of purely relying on market hype and reminds investors to exercise caution when dealing with such highly volatile assets.

!7377630

Overall, the story of Labubu showcases the complex evolution of the cultural and creative industry from physical to digital. It not only reflects consumers' pursuit of novelty but also reveals the instability of the digital asset market. This phenomenon is worth pondering for the industry and investors; finding a balance between innovation and stability will be key to future development.

!7377639