*obligatory not financial advice*
What is Chiliz?
Chiliz is a centralized blockchain that focuses on fan engagement in the entertainment and sport sector that tokenizes sport clubs like Manchester City or FC Barcelona. Chiliz offers fans the possibility of owning a part of their favourite sport clubs and gives them some voting rights for certain decisions. On the other hand it offers clubs get a new way to monetize their fans and a new way to survey them. This is possible thanks to fan tokens that are somewhat like off chain governance tokens for sport clubs. Event related NFTs are also part of the Chiliz ecosystem.
The blockchain is powered by Socios.com and the network and all of its features can be accessed via their app. This app is easy to use which makes mainstream adoption possible.
Fan Tokens
Sport clubs can sell fan tokens to raise more money and survey their most loyal fans. Holders of such fan tokens can use them to vote on decisions where the team wants to see their fans opinion, an example would be whenever or not they should change their player’s shirts. The decisions are proposed by the club and they don't have to let their fans vote on every decision. They will likely only let them participate on things where the club is fine with either outcome. This may seem totally useless to some people but there are many sport fans that own a small part of their favourite team and engage with them more actively.
They also serve as a loyalty badge and reward their holders with discounts on the merchandise of the team.
It is important to know that fan tokens are not meant as investments, they have an insane inflation rate because their clubs keep selling more and more. However, they could allow a new kind of swing trading style betting. Some teams reward their token holders by burning tokens each time they win a match or a player makes a goal, this shortly increases the value of the tokens that means that if you buy a token shortly before they win a match you can sell at a profit.
Currently there are 38 different clubs that offer fan tokens on Chiliz. They are mostly football clubs like Juventus but there are also many clubs from different sports like MMA or even e-sports. Many of the teams are well established and have countless of fans, so it is likely that there will many more to join. Fan tokens could easily become a new type of merchandise.
You can find a list of all different available fan tokens on fanmarketcap.com
Collectable Special Limited NFTs
It is also possible to create limited edition NFTs for pretty much anything. Should a player make his 100th goal for example, then this club could sell a limited NFT about that event, many hard-core fans would love to collect such things. This NFTs are also just meant as collectables not as investment, but if player grows a lot in popularity then it could happen that an NFT about him could become valuable.
The CHZ coin
CHZ is the native cryptocurrency of Chiliz. It is being used to trade fan tokens and to buy NFTs. In the future it will also be possible to buy tickets or VIP experiences with the CHZ coin. It has a total may supply of 8.888.888.888 coins, but 20% of the trading fees are constantly burned, so the more people use the Chiliz blockchain the more demand there will be for CHZ while its supply will keep decreasing. You can buy CHZ on bigger crypto exchanges as well as on the Socios.com app.
The sport sector is a gold mine. There are countless of consumers that would love to engage more actively with their favourite club and Chiliz and the CHZ coin do offer that to some degree. There are already many big clubs that have adopted the platform which will draw many of their fans there and this could make many offer clubs join too. I am very bullish for CHZ because it’s likely to grow in users and is deflationary.
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