The soccer world is in for a big shock. A thing that few predicted has happened. Leo Messi has left FC Barcelona and joined the ranks of Paris Saint Germain. It would seem that this is news from the world of sports. Nothing could be further from the truth! We remain in the world of cryptocurrencies, because Messi and his signature under the new contract involves a lot of crypto.
The welcome package, and it includes fan tokens
As reported by Reuters, Leo Messi has signed a two-year contract with his new club. He has also received a special welcome package, worth 30 million euros. There would be nothing unusual about it, if not for the fact that part of that package are PSG club tokens. The club is keeping secret what part of the package they have given in the form of tokens, but as reported by the news agency, we are talking about a big chunk of it.
As soon as the first indications of Messi’s possible contract with the Parisian team appeared, the demand for PSG tokens exploded. Within 5 days they recorded an increase in value by 130%. In turn, the trading volume exceeded $1.2 billion.
What are fan tokens?
Fan tokens are nothing but cryptocurrencies dedicated to specific sports clubs. They are provided by the Socios.com platform, powered by the Chiliz ecosystem. They are a great way to connect fans with their favorite teams. They also provide special opportunities. Depending on the features that the club will give, the holders of these tokens have the right to decide on matters that are important to the team. They also have the chance for discounts in the club store, receive VIP status at selected events, or can participate in video conferences or even live meetings with the players.
For the clubs, on the other hand, it is a great opportunity for additional funding, especially important in times of coronavirus, where the ubiquitous lockdowns have resulted in empty stands and consequently reduced revenues to club budgets. As reported by Socios representatives, profits for partners operating on the basis of fan tokens, in 2021 alone, have already exceeded $200 million.
It is worth noting that the partners are clubs from the strict top of the world. In addition to PSG, this includes Real Madrid, FC Barcelona, Juventus Turin and many other European powers. Furthermore, partnerships are also being extended to other sports, such as basketball, where in the NBA alone, Socios has already contracted 10 teams. They include brands such as the Huston Rockets, or even the Chicago Bulls.
Observing the development of this segment of crypto, one can assume that it has great potential ahead of it. Above all, it opens up new opportunities for clubs looking to increase their revenue while giving fans the chance to get even closer to their favorites. Accepting payments in the form of fan tokens is a groundbreaking method of rewarding players, which finds its imitators. Liverpool FC owners are also considering such an option.
It is also interesting to note the progress of Chiliz as a base token, for sports tokens. Its authorities, headed by CEO Alexandre Dreyfus, feel the market perfectly. They started their conquest with the biggest names in sports. In this way, Chiliz expands its reach to smaller clubs and somewhat smaller communities, while being recognized by the biggest. This could be an opportunity for cryptocurrency adoption on a big scale.