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Summary
- Most crypto fan tokens are available on Socios, a fan engagement platform powered by blockchain technology.
- The sports industry uses fan tokens to engage with fans and earn money.
- Fan tokens allow sports enthusiasts to participate in polls related to the internal matter of the teams.
Last year, the COVID-19 pandemic saw major sporting events get cancelled. Even when a few matches were played, no audience was allowed in the stadiums.
This disruption in the sports industry pushed stakeholders to find new ways to make money and keep fans engaged.
This is where fan tokens came into the picture, drawing an increasing amount of attention from different sports authorities.
Ongoing major championships like Euro Cup 2020, Copa America 2020 and Wimbledon tennis tournament continue to limit fan attendance due to the pandemic. While nothing can quite replace the feat of cheering your favourite team from the bleachers, the blockchain-based fan tokens has been bringing its own set charms that have started gaining momentum among fans.
Why is the sports industry going for fan tokens?
Fan tokens have been around for a few years now, but it noted a major boost in June last year when Spanish football giant Barcelona FC launched their own token, $BAR.
At the time of writing this, $BAR was trading at a value of US$ 14.11 (8AM EST) on Thursday, July 8, with a market cap of C$ 41.6 million, as per crypto platform CoinGecko.
Fan tokens attract sports enthusiasts as they allow them to participate in polls related to the internal matter of the teams. They also come with a set of exclusive benefits as token owners.
Over the past year, a rising number of sports team owners and stakeholders have been taking an interest in blockchain technology and cryptocurrencies.
The Union of European Football Associations (UEFA), for one, signed a five-year deal with AntChain to explore blockchain technology. Even motorsports and cricket teams are exploring this evolving space.
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Although many platforms offer fan tokens, Socios seems to be a favorite among teams for the launch of fan tokens.
Socios is a fan engagement platform based on the Chiliz blockchain infrastructure. Fans use $CHZ token for transactions on this platform.
$CHZ token recorded a market cap of US$ 1.37 billion on Thursday morning (8:30AM EST).
According to Chiliz's whitepaper, it plans to turn the 2.2 billion gamers, 360 million esports fans and millions of general sports enthusiasts on its platform to team-connected influencers and decision-makers.
On that note, let’s look at some upcoming fan tokens on Socios.
- Valencia FC ($VFC)
The Spanish football club's fan token ticker, $VFC, is expected to get a space on the club's jersey during the upcoming La Liga League 2021-22.
If so happens, a fan token will get a place on a football team's jersey for the first time in history.
$VFC token is expected to launch in July or the first week of August, ahead of the Spanish football league that is set to begin in the second week of August.
The price of this fan token is not out yet. But it is expected to be priced in the range of US$ 2 to US$ 5. It could also record a demand as Valencia FC has won six league titles and is one of the most popular clubs in Spain.
- Levante UD ($LEV)
Like Valencia FC, this centenary football club played in the Spanish league and ranked third in the 2020-21 season of La Liga.
$LEV fan token is expected to give fans access to VIP rewards and let them participate in the club's critical decision-making process.
Fans will also get a chance to participate in chat forums, games and competitions related to the club.
So far, $LEV’s price has not been fixed. It is expected to open at US$ 2 at the time of its launch.
- Legia Warsaw ($LEG)
The biggest club in Poland, Legia Warsaw is the only club in the country that has never been relegated. Since World War II, the club has played 79 seasons.
Socios might soon launch this club’s fan token on its mobile application. $LEG fan token could be priced at 2 Euros or 9.27 $CHZ.
- Roush Fenway Racing
Roush, one of the most successful teams in NASCAR, fields multiple teams in the NASCAR Cup Series. Since its inception in 1988, this car racing team has won eight championships and 325 NASCAR races.
The global motorsport market is estimated to grow by US$ 990 million between 2020-2024 at a compound annual growth rate (CAGR) of one per cent, suggests a report of Research and Markets. So, motorsports teams might try to make gains in the growing industry.
Roush's fan token will likely be priced around 7.83 $CHZ when it is up for buying.
Source: Actionsports/Megapixl.com
- UFC
The Ultimate Fighting Championship, or UFC, is the most popular mixed martial arts (MMA) sport that has revolutionized the sports business.
According to Socios, fans will soon be able to buy $UFC fan token through the mobile app.
Using these tokens, fans would be able to take part in question-and-answer rounds with professional MMA fighters, among other benefits.
$UFC fan token could be priced around 9.27 $CHZ at the time of its launch.
- Philadelphia 76ers
This team recently became the first NBA franchise to partner with Socios. The leading global blockchain provider will be an official team partner in the 2021-22 season.
Philadelphia 76ers is one of the most successful NBA teams and has won three World Championship. It also made it to the playoffs 49 times in over 70 NBA seasons.
The team and the fan engagement platform have partnered to explore ways to increase fan engagement. It has not revealed details of the fan token yet.
The above constitutes a preliminary view and any interest in stocks should be evaluated further from investment point of view.
