Blockchain as a technology has seen a plethora of applications in so many industries. Because blockchain networks are decentralized and can process transactions and store information, there are few sectors where it cannot be applied. And over the years, we have seen this application all over the world.
One of the sectors that has embraced blockchain technology is sports. The sporting industry is constantly adapting to the latest technologies in order to better serve clients and blockchain has found itself in the mix. And from all indications, these applications of blockchain show no signs of slowing down.
1. Tokenization of Sports Moments
Every sports lover has those moments that they will never forget. Whether it is an iconic soccer goal, a slam dunk in basketball, and so on. Most of the time, we hold on to these moments by remembering them with friends and family, watching clips of them, or keeping pictures.
But blockchain technology has made it possible for sports fans to feel even closer to these moments by tokenizing them. In this sense, clips of these moments are turned into collection cryptos or NFTs. Fans can then buy these tokens and essentially own a piece of history. Sites like NBA Top Shot have sprung up to serve this growing market and have been mostly a success. What makes these tokenized assets even more valuable is the fact that they are often issued by the official body of the sport or by the sports teams.
It’s one thing to discuss a specific moment in sports history but being able to ‘own’ it digitally brought a new layer of engagement for sports fans. Lovers of different sports have always wanted to feel close to their teams and players of choice but thanks to blockchain, this is easier than ever before.
2. Gambling
Gambling has always gone hand-in-hand with sports. For any game that has mass appeal to an audience, there is some way to bet on its outcome. This has birthed the billion-dollar sports betting industry that we see today that lets fans make money by predicting sports outcomes. And in the last few years, this industry has developed a bit of a love affair with blockchain-based cryptocurrencies.
How this works is that rather than betting with fiat currencies as they usually would, fans can bet with all manner of tokens. These include the top tokens like Bitcoin and Ether, as well as lesser-known altcoins. In fact, some gambling sites have developed their own in-house tokens for users to gamble with.
So popular is this blockchain technology that there is a burgeoning legion of Bitcoin sportsbooks (source: https://www.basketballinsiders.com/tx/) that only accept cryptocurrencies. The reason why cryptos appeal to both betting site operators and users is that they have faster transaction times than most fiat currencies, offer additional profit for users, and give them more control over how they leverage their funds.
3. Verification of Merchandise
Sports is a billion-dollar industry and one of the main ways that this income flows into the hands of sports teams, leagues, and athletes is from sports merchandise. It has been shown time and time again that sports fans will pay top dollar for the jersey of their favourite player, the kit of their favourite team, and much more. Each sports season sees the release of new merchandise for fans to eagerly get their hands on.
At the same time, it is no secret that the counterfeit sports merchandise market is also thriving around the world while causing a loss to these teams. But luckily, blockchain technology has found application by helping to authenticate such merchandise. Because the information stored on blockchains cannot be altered or removed, information regarding sports merchandise’s authenticity can be sported on them.
Sports teams like the Sacramento Kings have released merchandise that allows buyers to verify their authenticity via blockchain. This way, when a fan buys a jersey or kit, they can be sure that they have not been sold a fake. Given the sheer size of the counterfeit sports merchandising space and how much teams stand to lose if it goes unchecked, this sort of application is very important.
4. Exclusive Access
Just like with buying merchandise, sports fans are known to pay top dollar for exclusive experiences if they can. These types of experiences include meet-and-greets with their favourite players, premium tickets at important games, priority access to team events, and much more. This brings us to a major application of blockchain which is for tokenising experiences.
NFTs, especially, have become widely used as ticketing solutions thanks to their reliance on blockchain. Establishments from Coachella to exclusive restaurants have issued NFTs that grant access to events and experiences. Sports fans are not being left behind as NFTs are also used to grant access to fan clubs, the ability to meet players, top-billed seats, and so on.
At the end of the day, sporting events are still events and there is always a way to sell better access to these events. Leveraging blockchain means that ownership of these perks and the transfer of them to others can be securely recorded for easy retrieval. This represents yet another source of income for the sports teams and another way to enjoy the sport for fans.
5. Gaming
While sports fans can mainly watch the games being played, virtual games give them the chance to experience some of the magic for themselves. Games released by FIFA, the NBA, and much more have always been popular among fans looking for some fun.
Blockchain has inevitably found its way into these games and offers fans a plethora of benefits. For one, in-game assets like balls and jerseys can be tokenized and traded as NFTs. Just like in real life, fans are eager for any digital perk that can make their experience better and blockchain is able to supply this through these assets. It also fosters more inter-fan interactions as one fan may sell one of these tokenized assets to another and make some income while they do.
Conclusion
Sports and blockchain might seem like an unlikely match, but the tech has been successfully applied to sports for years. This has created many more ways for sports fans to engage with the teams and players that they love, the ability for teams to fight counterfeiting, and the chance to create more income streams.
With these, it is clear that blockchain has a lot to offer to all stakeholders in the sports world and will likely be applied even more moving forward.