Non-fungible tokens (NFTs) continue to see increasing adoption as potential applications for the technology begin to be recognized in sectors ranging from sports entertainment to real estate.
One sub-sector of this market that saw a surge of momentum on Monday was fan token projects — protocols that allow token holders to participate in the management of their favorite sports brands and receive specialized NFTs and other unique redeemable items.
Top 7 currencies with the largest price change in 24 hours. Source: Cointelegraph Markets Pro.
Data from Cointelegraph Markets Pro and TradingView shows that the top three winners in the past 24 hours are FC Barcelona (BAR), AS Roma Fan Token (ASR), and Atletico De Madrid Fan Token (ATM), all of which are fan tokens. . as part of the Chilean Protocol. .
Three reasons for the high prices of these fan tokens are the partnership between Socios and UEFA, the increased interest in football when the World Cup qualifiers take place, and the popularity of the NFT combined with the most popular sport on the planet.
Partnership with UEFA
The recently announced partnership between UEFA, the governing body of European football, and Socios, a protocol focused on the creation of fan tokens, could be one of the driving forces behind the current rally.
The partnership is currently under contract until 2024 and makes Socios the regional sponsor of the UEFA Champions League, the most famous UEFA competition.
As part of this collaboration, fan tokens will be provided free of charge to token holders of clubs participating in the UEFA Champions League, as well as the Europa League and the European Conference League.
Club fans who have fan codes have a chance to win free VIP or NFT samples eligible for live games, provided they store tokens in the Socios app.
The second reason for the strength shown on several fan badges is the intensification of the football season and the excitement ahead of the FIFA World Cup due to start on November 21, 2022.
The football season usually runs from August to May, which means that the season is three quarters over, with teams and their fans now looking forward to potential league matches.
Football hype is also on the rise, with qualifying matches ahead of the 2022 World Cup, which will take place in Qatar from 21 November to 17 December.
Football is the world’s most popular sport, making it ideal for using fan token technology to better interact with fans and usher in a new era of sports memorabilia.
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Growing popularity of NFTs
The third factor that has helped increase the number of fan tokens is the general popularity of NFTs, which continue to gain mass access as new uses emerge.
Sports collectibles have long been the hallmark of various market segments, from karts to in-game gear signed by the players who used them.
As digital technologies continue to be integrated into every aspect of everyday life, they are now making their mark on the collective world by creating unique digital objects stored on the blockchain.