What to expect from Football Fan Token during FIFA World Cup 2022. Which platforms have joined the sporting event, what happens to the coins of the national teams. And which of the competition-related assets are most attractive for investment
On November 20, the FIFA World Cup in Qatar kicked off and will run until December 18. Cryptocurrency community actively participates in the event. Many platforms are sponsoring it, and cryptocurrency exchanges are adding new fan tokens for football teams and announcing promotions related to the World Cup.
The championship is sponsored by Algorand Blockchain (ALGO), which will continue to help FIFA with developments related to digital assets after this event. World Cup 2022 is also sponsored by Crypto com, a crypto platform. Users of this exchange were able to attend matches and win official paraphernalia.
Crypto exchange Binance launched a promotion for fans called Binance Football Fever 2022. It allows you to win rewards during the Championship by completing tasks. OKX platform launched the OKX Football Festival promotion on the occasion of this event. In which platform users can win participation in NFT airdrop.
Huobi raffled off tickets to the FIFA World Cup 2022 in October, while Poloniex held the “Poloniex FIFA World Cup Carnival” with a prize pool of $100k. Platform MEXC launched a referral program that could win $4.5k, and Gate.io runs the Gate.io World Cup NFT Collection, with a pool of $10k and other prizes.
At the same time, a lot of championship-themed tokens and NFT collections have popped up online due to sports hype. Which have unclear tokenomics and unknown developers. If you want to join the digital celebration of football, it is worth carefully studying the history of each project and its financial component.
Fan tokens from football teams
In September, crypto exchanges MEXC, Gate and OKX added tokens for teams from Spain, Brazil, Argentina and Portugal ahead of FIFA World Cup 2022. The first two coins have been issued on the Bitci platform, while the second two support the Socios and Chiliz platforms.
Argentina – Argentine Football Association Fan Token (ARG)
Despite the fact that the championship has just started. And Lionel Messi’s team token has already seen a drop of 24% after Argentina’s loss to Saudi Arabia 1:2.
The result of the match was unexpected, as the Saudi team was considered the outsider in the group. The coin has since recovered slightly in the 24 hours since then, rising 4.2% to $5.61. Argentina’s next game is on November 26, their opponent is Mexico.
Brazil – Brazil National Football Team Fan Token (BFT)
The token had been around $1 at the start of the tournament, but dropped 10% on November 23 and is hovering around $0.69. The first match of the team will be on November 24, the Latin American team will play against Serbian team.
Spain – Spain National Football Team Fan Token (SNFT)
The first game of the Spanish national team will be on November 23. It will be played against Costa Rica. The rate of SNFT token before the match is at $0.35 and shows a daily decline of 2.2%.
Portugal – Portugal National Team Fan Token (POR)
The cryptocurrency POR is worth about $4.92 on November 23 and is up 2.9% per day. The team will play their first match against rivals from Ghana on November 24.
France Fan Token (FRA)
The French team’s first game was on November 22. The French defeated Australia 4-1. The FRA token increased by 147% to $0.0013 during the day. Next game of team will be held on November 26, the opponent will be Denmark.
FAN token function has changed
Although Fan tokens were designed to address utilitarian issues. And to enable loyal fans to become more involved in life for their favourite teams. But today, these coins are not being used in the way the developers intended.
Paradoxically, they were originally intended for purely technical functions. Now fan tokens have instead become a kind of “shares” for clubs, according to our Crypto-Upvotes experts.
Because tokens have become priced not in terms of their value to a fan, but in terms of their success and public reputation. In this regard, the fan-token market has become a totalizator. And it has already been compromised by the ability to manipulate the price regardless of the actual success of teams.
Where to invest?
If you consider the investment component of this segment, first of all, you need to keep an eye on platforms and blockchains. Which ones are placing such tokens, not the fan tokens themselves. For example, it looks more strategic to buy a conventional Chiliz (CHZ) token than a coin from some promising sports club.
CHZ cryptocurrency was released back in the fall of 2018 on Ethereum as a control token for a fan token ecosystem that was being created. And a year later, Chiliz Chain of the Ethereum network was created to reduce commissions. This project brought most of its fan community together under the Socios.com aegis. They became the first blockchain project to start issuing tokens for sports fans.
Cryptocurrency Shiliz (CHZ) is quoted at $0.183 on November 23. Before the start of World Cup 2022 it was worth $0.26, but by the evening of November 22 it was down to $0.17. For the previous day the coin grew in price by 2.2%.
In addition to Chiliz and its Social.com platform, Turkish platform Bitci is gaining momentum. It has already issued tokens for football teams of Brazil, Peru and Spain, Turkish national basketball team and many other sports teams. Which are mostly from Turkey and Spanish-speaking countries.