Fenerbahçe S.K., a sports club in Turkey, has issued its own fan token on the Ethereum blockchain through a new partnership with a local crypto exchange Paribu.
It has been reported that the initial presale of 500,000 unlocked tokens was completed on Monday, netting the club 15 million Turkish lira ($1.75 million) in 30 seconds.
However, the club announced that the Fenerbahçe Token would have a maximum supply of 190,700,000 tokens in reference to 1907, the year Fenerbahçe was established. According to the project’s white paper, a total of 117 million treasure tokens will be created on smart contracts over the next 25 years on a yearly basis.
The report said that Fenerbahçe also included a roadmap for the token burn that will be triggered by the club’s achievements in soccer, basketball, or volleyball. The white paper also noted that there will be token burns in the event of a victory, championship, or achievement in Europe. Noting the dismal state of soccer amid the coronavirus pandemic, Fenerbahçe president Ali Koç said that the sports industry has to seek new revenue streams.
He stated that being active in the crypto assets business is an important item on the club’s agenda. Koç explained that Fenerbahçe met with 12 companies, both local and international, before issuing a fan token. After evaluating several criteria such as the potential of a token listing, user base, and technical infrastructure, the club picked Paribu as the technology partner for Fenerbahçe Token.
Koç said:
“It’s not a sponsorship deal. It’s a 25-year-long business partnership.”
Yasin Oral, the CEO of Paribu, said that due to Fenerbahçe Token being issued as an ERC-20 token on the Ethereum blockchain, it would be possible to list it on global platforms in the future.
Thus, several sports clubs in the country have already issued fan tokens. More recently, the Turkish Union of Clubs, an association of clubs playing in Turkey’s primary soccer league Süper Lig, has partnered with Socios.com to explore digital revenue models.
Source: Cointelegraph
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