Fan Tokens: A Guide Into This Growing Trend

Almost everyone on the globe today is a fan of something – music, sports, art, movies, celebrities, etc. But what if people could earn money by being fans of something? Well, here comes the idea of fan tokens.

If you are new in the crypto space, fan tokens are real. So, what are they? How do they work? Well, this guide digs deeply into fan tokens.

What are Fan Tokens?

Fan tokens are a unique class of digital assets based on blockchain technology, associated directly with a team, player or celebrity. These fan tokens are made primarily to be purchased and sold between fans of a particular team.

Let’s take a step back.

Historically, it has been difficult for fans to engage with their team or players. In many cases, the only way to interact would involve paying for tickets online and going to watch matches live in stadiums.

Moreover, the processes of ticket payments were designed in such a way only to be one way — the team taking money from the fans. But what if there was a more accessible root for fans to interact with the team and also share in decision-making? Fan tokens!

The concept of fan tokens was popularized through Socios, a platform which has partnered with various other teams for success. Socios has its native blockchain, dubbed Chiliz, which enables the minting and transfer of these tokens.

Socios started by enabling teams in various sports to issue branded tokens. Juventus is the earliest adopter of this trend, having begun its journey in 2018. Various teams have already hopped on this trend, as we will see later in the guide.

However, in more recent years, we have seen blockchains like Ethereum and Binance Smart Chain also adopting this unique class of assets.

How Do Fan Tokens Work?

Fan tokens are indeed a fascinating invention in the blockchain realm, enabling the fans and the team to connect. But how are they really designed to work?

First and foremost, fan tokens are crypto assets, hence housed on blockchain technology. The transfer, operation and general security rely entirely on the power of blockchain technology.

The issuance of the tokens happens through Fan Token Offering, which buys some ideas from the standard initial coin offerings. However, everything begins when a team or club collaborates with a blockchain platform to create the tokens. The most popular blockchain platform associated with these works is Socios.

After the minting comes the general sale stage, the fan token offering. At this point, the fans of the teams purchase the tokens through the listed zones, using either fiat or crypto.

Following the FTO, when the fans have the tokens in their wallet, the magic begins. The hype around the token begins, especially when the team experiences a winning streak. These fan tokens gain value precisely due to hype.

Benefits Associated With Fan Tokens

Ownership of fan tokens opens a world of opportunities for the average investor. Among the perks include;

• Access to exclusive content and merchandise. Most teams release merchandise like shirts, balls, etc, with the club’s logo or some unique design for fans. Owning fan tokens can give fans closer access to such merchandise.
• Participation in general virtual team meet and greet events.
• Voting rights in some team-related decisions. Among the decisions fans can participate in include merch designs, ticketing issues, match locations and even the design of the tour bus and jerseys.
• Holders of fan tokens can also enjoy discounts on match tickets and even purchases of club merchandise.

The advantages afforded by the fan tokens make the fans of a particular team feel like a part of the community.

Top 10 Fan Tokens

Manchester City Token (CITY)

A football club founded in the 1800s, Man City, stands among the most prominent English teams to launch a fan token. After its recent success on the pitch, Manchester City collaborated with Socios and Chiliz blockchain in March 2021 to launch its fan token called CITY.

The token, which was launched as a BEP-20 token, thrived in the early days, attracting the attention of a vast number of City fans. As per an announcement from the Man City web page, owners of the CITY fan token will enjoy VIP rewards, games, club promotions, voting rights in some club polls and even AR-enabled features.

Owing to its currently growing fan base, many predict that the token could be a gen to invest in for the future. The token was trading at $3.9 at the time of writing, down from its all-time high and even launch price.

Tottenham Hotspur Token (SPURS)

Another English club to join the fan token hype is Tottenham Hotspur. For decades, the club has been thriving in the premier league, forming part of what is known today as the Big Six Teams.

Despite going long periods without trophies, Tottenham has managed to maintain a loyal fanbase. The fanbase was vastly impressed with the launch of the SPURS fan token in October 2023 in partnership with Socios.

Santos FC Token (SANTOS)

The Brazilian football giant Santos also takes a spot in the list of top Fan coins in the crypto space. The sports club was founded over a century ago in Santos, São Paulo. It has featured some major footballing greats, including Pele and Neymar.

In November 2021, Santos joined the fan token hype by launching the SANTOS fan token on the Binance smart chain as a BEP 20 token. This token affords holders’ fans voting rights and other benefits like NFTs and merchandise.

FC Barcelona Token (BAR)

The Spanish footballing behemoth was founded in 1899 in Barcelona, Spain. Over the century, the club has amassed immense success winning top-level trophies in the country and also Europe.

In June 2020, through a collaboration with the Socios Fan token network, Barcelona introduced the BAR fan token. This token is based on Ethereum and affords Barcelona fans a number of benefits, including a vote on which message the captain’s armband should display. Moreover, you can get merchandise and match tickets.

Paris Saint Germain Token (PSG)

Paris Saint Germain, popularly known as PSG, was among the earliest football clubs to adopt the fan token and also joined the fan token ride by launching its token called PSG.

The French team was founded in the 70s, and has since evolved into a giant of the France football realm. In 2019, PSG minted the first PSG token on Ethereum, placing it amongst the earliest adopters of fan tokens.

FC Porto Token

Portuguese sporting giant Porto launched its very own token called PORTO in late 2021. The token has since attracted massive investments, garnering a market cap of over $20 million.

Galatasaray Token (GAL)

The giants of the Turkish football league were not left behind. The club, which has hosted some big names in football, including Didier Drogba and Wesley Sneijder, decided to launch a Fan token early in 2020. This token, named GAL, was also the brainchild of a collaboration between Galatasaray and Socios.

Based on Ethereum, GAL allows holders voting rights and also discounts on the club’s merchandise.

Argentina Football Association Token

The reigning men’s football World Cup champions Argentina also joined the fan token named ARG. This token, which has a market cap of over $7 million, has been seen to react to upsets, like the widespread loss to Saudi Arabia at the dawn of the 2022 World Cup.

Juventus Fan Token (JUV)

Juventus is the very first sports club to launch a native fan token. Built courtesy of a collaboration between Juventus and Socios, JUV brings a vast number of advantages, including VIP experience and official products. Moreover, JUV holders can participate in the general decision making of the club.

AC Milan fan token (ACM)

Listed among the oldest football teams in the globe, the Italian football giant based in Milan launched a fan token called ACM in collaboration with Socios. The ACM token, which was launched in Feb 2021, allows fans to enjoy tokenized rewards.

Inter Milan fan token (INTER)

The direct rivals of AC Milan, Inter Milan, followed suit by launching their token late in 2021 through a partnership with Socios. This token, called INTER, allows holders to vote concerning various club decisions.

S.S. Lazio fan token (LAZIO)

Another Italian Footballing giant, Lazio, joined the fan token hype late in 2021 through the Binance launchpad. This BEP-20 token allows LAZIO fans to participate in their team’s e-commerce system easily. Moreover, the holders can win collectables provided through the club.

Other Sports

As already noticed, most of the aforementioned fan tokens are for football clubs. However, other sports have also joined the trend. Among them include:

Alpine F1 Team Token

Alpine, the Formula One Giant team owned by Grouper Renault is among the non-football teams to join the trend. The token, ALPINE, enables the fans to enjoy voting and other gifts and benefits.

Davis Cup Fan Token

This is a product of a collaboration between the Socios network and Davis Cup. The fan token allows holders the power to help the network in decision-making. Moreover, holders can earn official products and enjoy a VIP experience.

Where and How To Buy Fan Tokens?

After hearing about the emerging technology of fan tokens, consider purchasing one for the club you support. If you find a token associated directly with your favourite team, you can now purchase it on many popular crypto exchanges.

Trading networks like Binance, Coinbase, Bittrex, Kucoin, Kraken and many other networks support the exchange and trading of fan tokens. As such, you can purchase some from those exchanges.

The process of purchase in most exchanges is quite simple and involves the following steps:

• Account creation
• Purchase of a relevant crypto asset, be it Ethereum, BNB or CHZ.
• Select the fan token you wish to buy, and pay for it using the crypto in your wallet.
• Keep the fan token in your wallet.
• Continue trading this fan token on exchanges.

Fan Tokens Could Shape the Future

The dawn of fan tokens has been a unique invention in the realm of crypto assets and blockchain technology. It enables the growth of an ecosystem with the potential to redefine how fans interact with teams and celebrities entirely.

By allowing fans access to these assets, teams enable an ecosystem where both fans and teams benefit through rewards and even more involving decision-making processes.

Passionate supporters of football, F1, and other sports teams will enjoy a universe of benefits provided by teams through fan tokens. In fact, these tokens get their value from fan support.