World-famous toy manufacturing company Mattel has decided to shut down its popular digital collectible project, Hot Wheels Virtual Garage NFT. The company gave an update on its official website stating that no new NFT series or feature drops will be released “until further notice”.
Mattel said that it is evolving in the changing world of virtual collectibles, and this decision has been taken as part of this process. The company expressed gratitude to its fans and said, “Your enthusiasm and support have been unparalleled, and we are very grateful to be a part of this digital journey with you.”
The first series of Hot Wheels NFT Garage was launched in November 2021, and ten series have been released so far. The last series was released in December 2024. The company has clarified that there will be no new series after 2025, and further decisions will be shared with the community in the future.
Old NFTs and the Marketplace will remain operational until 2025
Although the project is shutting down, Mattel has said that the Hot Wheels NFT collection, the Mattel Digital Collectibles Marketplace, and its community Discord Channel will continue to function as before until 2025. NFT holders will still be able to buy, sell, and trade their digital collectibles.
The company also said that the NFTs issued so far and their redemption offers will be fulfilled as before. Although users do not yet have the option to transfer their NFTs to other wallets or NFT marketplaces, Mattel has assured that it is considering this feature.
Slowdown in NFT Market, other companies also changed their stance
Mattel’s decision comes amid the ongoing decline in the NFT market. NFT sales declined by 63% in Q1 of 2025, with total sales falling from $4.1 billion to just $1.5 billion.
Earlier, Nike also shut down its NFT platform RTFKT in January 2025, after which NFT holders took legal action against the company. On the other hand, companies like FIFA are still active in the NFT sector and recently a news came out in which it was told that FIFA will launch FIFA Blockchain for its NFT platform.
Mattel has not yet clarified what the future holds for the Hot Wheels NFT collection, but the company has said it is working on long-term planning and will continue to update its community from time to time.
The impact of the decline in the NFT market is now visible on big brands as well. Mattel’s Hot Wheels Virtual Garage NFT project is the biggest example of this changing era. While the company will continue to support its existing users, it is also clear that the NFT sector now needs new ways and technical innovation. In the coming times, it will be interesting to see in which direction Mattel and other companies move in digital collectibles. Also, if you want to get more information related to NFTs, you can visit our NFT News section, where you will get information about new topics like the Rarible NFT Marketplace.