Crypto winter isn’t the only thing hitting codes hard right now. It’s also WC.
Soccer tokens took another hit today as the Spanish National Football Team (SNFT) Fan Token collapsed 42% from $0.09 per coin to $0.03 following the team’s 3-0 overtime defeat by Morocco in the World Cup, according to data from CoinGecko.
Since the inception of the World Cup, crypto sports bettors have put their money on tokens bearing the names of their favorite teams. Some tokens, such as the Argentine Football Association (ARG) fan token, function similarly to DAO governance tokens, giving their holders the right to vote on future fan events but not in team or roster management.
While most tokens can fluctuate along with the volatility of the crypto market, sports fans are all about the game.
After Saudi Arabia defeated Argentina on November 23, 2022, the price of the ARG token fell as fans sold their tokens. According to Coingecko, at the start of the World Cup on November 20, 2022, the Argentine team fan token was trading at $8.10 per coin, but after losing three days later, it was $5.35 and has been in freefall ever since.
The Saudi NFT Group is Exploding! Thanks to Argentina’s big win https://t.co/GX8GP3517t The Saudis Group’s NFT sales exploded after they beat Argentina 2-1. The Argentine Football Association fan token decreased by 25% after the output of Argentina pic.twitter.com/CBumCeAgam
But even profit does not guarantee that the value of the token will increase. On December 3, 2022, Argentina defeated Australia 2 to 1. At the time, the value of the ARG token was trading at $3.57, and it failed to return to the previous week’s highs.
Team tickets aren’t just for the restroom. In April, digital asset platform Socio entered into an agreement to generate fan tokens for thirteen NFL teams, including the Atlanta Falcons, Baltimore Ravens, Chicago Bears, Cleveland Browns, Los Angeles Rams, and Tampa Bay Buccaneers.
The following month, Socio announced a deal with Major League Soccer to create fan tokens for twenty-six teams.
“The best way to look at these deals, like anything else, is as a signal that the league is comfortable and interested in us, and that it was in a good enough place after our discussions,” Max Rabinowitz, chief strategy officer for Socios and parenting firm Chiliz, said. previously said Decrypt. “They basically allowed us the privilege of signing with as many teams as we did.”
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