PSG’s Fan Token Doubles in Value After Team Secures Champions League Quarter-Finals
- Blockchain platform Chiliz saw record-breaking trading volume with its Fan Tokens.
- The company plans on capturing more of the sports market with an expansion to the United States.
PSG Logo on a banner near the Parc des Princes stadium, the home pitch of the French Ligue 1 football club Paris Saint-Germain, 30 March 2018. Shutterstock
The price of $PSG, the team’s Fan Token released on blockchain platform Chiliz, saw a price increase of 110% on 10 March, reaching a price of nearly $24. The price of Barcelona’s $BAR token briefly dropped by 6% following the team’s loss but continued to consolidate with the rest of the Fan Token market.
According to Chiliz, PSG’s progression to the Champions League quarter-finals sparked a huge increase in Fan Token trading activity. Several other Fan Tokens increased in price during the same period. Trabzonspor and Juventus lead the way, increasing 82% and 79, respectively.
The total Fan Token market cap currently stands at around $360 million, having hit $390 million on 10 March after the Champions League-led trading frenzy, Chiliz said. Alexandre Dreyfus, the CEO of Chiliz and Socios.com, said this number is set to increase as the company adds more partners and increases the number of Fan Token listings on major exchanges. Earlier this month, he revealed the company will invest $50 million in an expansion to the United States to target the country’s top sports franchises.
The Fan Tokens for Paris Saint-Germain, Juventus, Atlético de Madrid ($ATM), AS Roma ($ASR), and AC Milan ($ACM) are trading on leading global exchanges, including Binance. Another 18 Fan Tokens are traded on Chiliz.net, the company’s proprietary exchange platform.
As digital assets, Fan Tokens provide users with exclusive access to voting rights, VIP rewards, AR features, superfan recognition, and promotions on Socios.com, a fan engagement and rewards platform.
“Rallies like last night create great opportunities for our Fan Token partners to generate additional revenue,” Dreyfus said in the company’s announcement.
- The investment gives Sorare a new valuation of $4.3 billion.
- The company will use the funding to expand to new sports and increase its offering.
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- Fans of LaLiga will now be able to get their hands on NFTs representing players from the top 20 clubs in Spain.
- This will create new revenue streams for the league, and enable fans to play in Sorare’s fantasy tournaments.
- The football legend is moving from FC Barcelona to Paris Saint-Germain, and will reportedly receive a large number of PSG fan tokens as part of his financial package.
- While it remains unclear what percentage of his package will be in the form of tokens, the football player has reportedly signed a $41 million contract with the football club.