The market value of fan tokens has soared by more than 60% since June: data
The value of the fan token market has been growing this year, and the total market value has soared by approximately US$157 million since June.
according to data According to the main fan token website FanMarketCap, at the time of writing, the market value of all fan tokens is estimated to be slightly higher than $417 million. This is nearly 60.4% higher than the overall value US$260 million recorded in mid-June 2021, As Cointelegraph previously reported.
At the time of launch, the daily trading volume of the Fan Token Market reached US$270.2 million.
according to For FanTokenStats, some of the most valuable fan tokens include Paris Saint-Germain (PSG) and Manchester City (CITY) is issued by Socios, a major fan token provider, based on the Chiliz blockchain infrastructure. Although the market value of PSG is slightly higher than US$49 million, the market value of CITY is US$38 million.
Binance, the world’s largest cryptocurrency exchange, is also a major fan token player, emission Launch its own fan token platform in October 2021. running According to data from FanTokenStats, on Binance Launchpad, Binance’s token release platform, Lazio Fan Token (LAZIO) is one of the largest fan tokens with a market value of approximately US$51 million.
Founder and CEO of Socios and Chiliz Alexander Dreyfus Tell Cointelegraph that all fan tokens in Socios and Chiliz’s fan token ecosystem have sold 250 million U.S. dollars so far. He predicts that the market size of fan tokens and social tokens will soar to $10 billion in the next five years.
Fan token is a digital currency that provides holders with many fan-related membership benefits, including voting for club decisions, product design, rewards, and other fan participation experiences in sports clubs and music fan clubs.
Dreyfus emphasized that fan tokens are not cryptocurrencies, but digital assets: “You can’t buy things with fan tokens, you can own fan tokens to gain fan benefits.” He still pointed out that the use case of fan tokens It is different for fans and traders. “Fans will insist, traders will trade,” Dreyfus said.
According to the CEO, sources such as CoinMarketCap (CMC) and CoinGecko did not correctly reflect the initial price of fan tokens issued by Socios, which are usually about $2 per token. Therefore, according to CMC and CoinGecko, the initial price of CITY was US$2 per token instead of US$10.
“You can’t see it on CoinMarketCap,” Dreyfus pointed out, adding that sources such as CMC and CoinGecko will not get the fan token issuance price, but only the listing price. “Fan tokens are first pre-sold at a fixed price during the flash sale, and then listed,” he added.