Unless you’ve been living under a rock, you’ve surely heard of cryptocurrencies so far. The digital tokens are reshaping the world as we know it, having a massive impact on a number of industries. They’re present in various businesses as well as industries such as iGaming, giving players a chance to play their favorite games with cryptocurrencies. Funding your accounts with cryptos is easy these days, and any decent online casino guide can help new players.
While cryptocurrencies have been available in online casinos for some time, they have just entered the sports market. If you’ve been reading the news, you know that Lionel Messi’s PSG contract was partly funded in crypto. NFTs are going wild right now, with plenty of official memorabilia being sold to fans via crypto tokens. Also known as fan tokens, they offer something entirely different to sports fans and may have a big future.
What Are Fan Tokens?
How do we easily describe crypto fan tokens? Think of them as the ultimate reward a fan can get. By buying a fan token, holders get a range of club-specific membership perks. For example, fan token holders will be able to vote on club matters, while also owning perks such as club rewards, regular discounts on club memorabilia, and various digital experiences.
They’re similar to what NFTs offer, but in this case, the tokens are fungible and can be spent on club merchandise. Fan tokens are built using blockchain tech and initially appeared at the beginning of 2020 when Catalan giant FC Barcelona offered them to the club’s supporters.
While they’re a relatively new asset, crypto fan tokens caught fire early on. After FC Barcelona started offering them, other clubs have joined the fray. AC Milan, Juventus, and PSG now have them too, and Premier League clubs are next in line. Crypto fan tokens are bringing fans and clubs closer together, offering rewards and perks that go beyond a simple jersey or cap.
Fan tokens came into the limelight only recently, when it was announced that Messi’s welcome package at Paris Saint Germain (estimated to be worth around $30 million) contained an unknown amount of tokens. This has helped the club engage with new global audience. Of course, as soon as the news was announced, trading for the PSG token was at an all-time high, so early investors made some pretty solid gains on their investment.
Which Sports Have Joined the Fan Token Craze?
At the moment, crypto fan tokens are mostly focused on football. Cryptocurrencies such as CHZ by the Socios.com platform are widely popular and expected to skyrocket in price soon. Some of the world’s top football clubs already have their fan tokens, and as new ones join the list, these tokens will only grow in size.
The UFC has also announced plans to join the crypto fan token community. As one UFC executive said, the promotion hopes that the fan tokens will foster a deeper connection between it and the fans.
In the Formula 1 racing series, Alfa Romeo and Aston Martin are the first teams to offer crypto fan tokens. The bigger fish such as Mercedes, McLaren, and Ferrari are yet to make a statement on it, but we believe that’ll happen soon.
While the NBA is mostly focused on NFTs right now, franchises such as the LA Clippers have recently announced partnership with the fan influence program and rewards platform Socios.com. It’s just the first step of similar partnerships that we believe can transform the world’s top basketball league and give fans a piece of something entirely different.
What Does the Future Hold?
It’s still too early to tell how crypto fan tokens will reshape the sports industry. They’re currently being used as part of big contracts and as a way to bring clubs and fans together. However, they’re still new and expected to make a significant impact in sports later as they grow.
At the moment, it’s a great idea to own fan tokens from an investor’s point of view. If you play the crypto market, owning some Barcelona, Juventus, or AC Milan coins is a smart choice. Price hikes are expected as these clubs sign new stars or win major events. At the same time, you’ll be getting a piece of the club in a digital manner of speaking, and every fan hopes to earn a piece of the club they love.
We’ve just scratched the surface of fan tokens, so make sure to keep an eye on them in the future.