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Tottenham Hotspur taps Chiliz blockchain for Web3 fan token

474b9144-c9ae-41f7-a7f5-4e261e631caa.jpg

Spurs becomes the first Premier League team in two years to issue its own fan token on the Chiliz blockchain.

Tottenham Hotspur will become the latest Premier League team to tap into blockchain technology to issue and manage its own Web3 fan token to drive supporter engagement and rewards.

Spurs will issue the fan token through Socios.com, the fan engagement platform built on the Chiliz blockchain that has attracted over 80 major sporting teams from different codes around the world. The platform enables teams to issue and manage fan tokens, digital collectibles and real world rewards, while users can participate in DAO-like decisions involving their favourite teams.

Related: From cricket to crypto: AB de Villiers ventures into Web3

Spurs join the likes of Premier League champions Manchester City, Arsenal Barcelona, Paris Saint-Germain, Juventus, Inter Milan, AC Milan,Atlético Madrid and A.S. Roma, which are some of the most prominent teams in professional football making use of blockchain to innovate engagement with supporters.

The launch will allow $SPURS token holders to take part in onchain voting on a variety of team dynamics, including potential kit changes. Spurs will also partner with MatchWornShit, the platform that facilitates auctions of jerseys worn by players during games that are authenticated on the Chiliz blockchain.

0e391d2d-0484-4ad4-947f-5911d595d58c.pngTottenham Hotspur's official announcement of its fan token. Source: Socios.

Commenting on the partnership, Tottenham commercial sales director Ryan Norys said that the fan token will build on its existing membership scheme with a “new range of club-related rewards and experiences.”

Speaking directly to Cointelegraph, Chiliz and Socios CEO Alexandre Dreyfus said that talks have been ongoing with Spurs since 2022. He also said that the club would use Socios while simultaneously integrating their fan token into their own loyalty programme and mobile app in the future.

$Spurs tokens are set to be launched on Oct. 4 and will be listed across cryptocurrency exchanges that support Chiliz tokens. Socios users in the United Kingdom can also expect to see disclaimers on fan token offerings from Oct. 8, as the marketing of cryptoasset promotions comes under the auspices of the Financial Conduct Authority (FCA).

This will require stricter rules for advertising as well as a disclaimer warning investors of potential total losses investing in cryptocurrencies or fan tokens.

Manchester City, Arsenal, Aston Villa, Everton, Leeds and Crystal Palace are the other Premier League outfits that manage fan tokens on the platform, with Dreyfus noting that the ongoing cryptocurrency bear market has hindered onboarding of teams over the past year.

Related: FC Barcelona secures $132M investment for blockchain and NFT venture

Fan tokens have become a significant source of revenue as teams look to leverage digital technologies to drive user engagement. Chiliz estimates that its blockchain platform has handled over $400 million in revenue for teams and leagues since 2018.

Chiliz was originally built as an ERC-20 token ecosystem but shifted onto its own layer-1 blockchain that is a fork of the BNB Chain in May 2023. Operating on a proof-of-stake authority (PoSA) consensus mechanism is touted to deliver shorter block times, reduced fees, and lower energy consumption, while being EVM-compatible allows it to remain compatible with Ethereum development tools.

The International Cricket Council is also looking to leverage blockchain technology to drive fan engagement during the upcoming 2023 Cricket World Cup in India. NEAR Foundation’s blockchain operating system will serve as the backbone for a Web3 fan engagement app during the six week global competition.

Collect this article as an NFT to preserve this moment in history and show your support for independent journalism in the crypto space.

Magazine: Blockchain detectives: Mt. Gox collapse saw birth of Chainalysis

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