French soccer powerhouse Paris Saint-Germain (PSG) has made history by becoming the first soccer team to validate a blockchain, specifically the Chiliz Chain blockchain that hosts its PSG fan tokens.
PSG plans to reinvest the proceeds from its validation role into purchasing PSG fan tokens regularly, effectively creating a buy-back program.
Introduction of Fan Tokens
Since September 2018, PSG has introduced fan tokens, which have gained significant traction among supporters. These tokens, now valued at $28 million, offer opportunities for fans to engage with the club, including access to sports memorabilia and experiences.
While sports clubs have previously embraced cryptocurrencies through fan token creation, PSG’s decision to act as a blockchain validator marks a pioneering step in the crypto space.
Function of Validators
Validators, integral to blockchain networks, manage nodes to ensure network security by verifying transactions and authorizing smart contracts. In return, they earn revenue from node operation.
PSG’s Vision for the Fan Token Ecosystem
Pär Helgosson, PSG’s head of Web3, emphasized the club’s commitment to enhancing the fan token ecosystem, aiming to optimize engagements for all stakeholders and foster a sustainable digital economy.
PSG joins a prestigious list of soccer clubs, including FC Barcelona, Manchester City, Juventus, Arsenal, Inter Milan, and AC Milan, that have issued tokens on the Chiliz Chain platform.
Paris Saint-Germain’s pioneering move signifies the increasing integration of blockchain technology in the sports industry, opening up new avenues for fan engagement and revenue generation.
