Since the sport’s inception, athletes have built their legacy on the playing field. We look up to their achievements; we hold their records, their milestones and the countless moments that make up their victories. From the 2010s onwards, the introduction of social media transformed the playing field, giving us greater access and insight into star players. Ten years later, the rise of NFTs gave fans and their favorite athletes a new way to connect. Now, blockchain-based collectibles and games are changing the way we see and interact with athletes as fans increasingly have the tools to contribute, own and expand the playing field of their favorite stars.
This opinion piece is part of CoinDesk’s GameFi Week 2024.
In preparation for the upcoming Summer Olympics in Paris, Michel Cadot advised the Prime Minister’s Office to implement blockchain ticketing for all major sporting events surrounding the Paris Olympics. Individuals would receive their tickets as rotating QR codes via blockchain technology, with NFT tickets sent out a few days before the event. These tickets are activated within a specific perimeter of the event location to reduce ticket fraud, but also ensure that event attendees have a lasting memory on the blockchain.
As we see events like the Olympics and leagues like the NFL, NBA, and MLB all experimenting with blockchain and NFTs in different ways, the question becomes: will on-chain assets be the future of athlete legacy? Let’s take a look at how this technology is being used so far and what it could mean in the coming decades.
NFTs allow fans to own a moment
NFTs allow fans to own a piece of the game by immortalizing iconic moments as digital collectibles. This preservation extends the impact of the game beyond the venue, creating a timeless connection between fans and their favorite sports. By owning these unique digital recreations, fans can engage with the sport on a deeper level and experience a sense of ownership and participation that goes beyond just watching or interacting on social media. This innovative use of blockchain technology ensures memorable plays and legendary highlights can live on forever, increasing fan loyalty and engagement.
For example, there is a recent collaboration between AC Milan and Fanblock has symbolized the stadium experience. Fans can acquire virtual plots of land in stadiums and earn rewards based on in-game events that occur during official matches in their area, such as goals, assists and yellow cards. In 2022, the AO announced a festive NFT collection called Art Balls, featuring 6,776 unique digital tennis balls. Fans and creators can submit designs for these NFTs. Owning an NFT gives access to a digital tennis court in Metaverse in Decentraland, where historical highlights of the competition are streamed. Additionally, each NFT is tied to a specific section of the physical playing field, and owners of the section where the winning shot lands will receive exclusive game data.
Additionally, Major League Baseball (MLB) now offers game highlights in both historic and recent games, allowing fans to own a piece of content they previously could not own and that can forever commemorate a favorite moment or a game they attended. MLB also offers fans the opportunity to own player memorabilia in a digital format, creating a new way to support favorite players that goes beyond a physical piece of memorabilia or trading card that can be lost, stolen, torn or broken. Because these assets live on-chain and are authenticated forever, fans reduce the previously associated risks, making these valuable pieces last longer.
Star careers can become exponential
Professional athletes, who are among the most physically and mentally gifted individuals, have long struggled to fully realize their personal value. Traditional physical auctions often fail to raise revenue for the athlete or their estate. By leveraging NFTs, athletes can create new revenue streams that extend beyond their active career years, which typically last only 5-7 years. Agencies such as Young Money APAA Sports now offer customers their own digital player cards, allowing athletes to profit from their name, image and likeness and collect royalties on any resales.
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This digital approach allows athletes to benefit from their fame and achievements forever, so they can benefit financially from their legacy. NFTs not only democratize the auction process by eliminating middlemen, but also provide athletes with ongoing opportunities to monetize their career highlights, memorabilia and unique digital content directly to fans. Tiger Woods, Khabib Nurmagomedov, Stephen Curry, Micah Johnson, Son Heung Min, Rafael Nadal, Lionel Messi, Tony Hawk, Tom Brady, Usain Bolt, Wayne Gretzky are just a few examples of athletes who have officially licensed NFT collections.
Fan tokens allow supporters to make decisions
We have also seen the rise of sports organizations using Fan tokens – Unlike NFTs, these are fungible or interchangeable crypto tokens that can be used as currency to exchange for merchandise, VIP experiences and more. These tokens are used in an almost DAO-like structure, meaning that when a holder collects enough tokens, he or she will be given the opportunity to vote on club matters such as drafts, ticket sales and match locations. Fan Tokens give way to new and exciting opportunities for fans already deeply entrenched in the activities of their favorite club, allowing them to feel the rewards of a team’s successes and grow their loyalty even further.
While the Chiliz Fan Token emerged as the first of its kind, popular clubs such as Manchester City and AC Milan have also integrated this system. Not only do these tokens benefit the fans who decide to participate, but they also give the clubs a new revenue stream that benefits the club as a whole, its players and the fans.
Web3 games allow fans to be general managers
Web3 has also dabbled in gaming and offers a plethora of things to iterate on when it comes to traditional gaming. While there have been successes and misses when it comes to Web3 gaming, there has been a lot of success when it comes to the interaction between Web3 gaming and various aspects of sports. These games offer fans the opportunity to take on the role of general manager of their favorite teams or interact with their favorite players, bridging the real world and the virtual world. Games that use blockchain as an underlying technological mechanism allow users to own, trade and manage digital assets, while also using crypto to combine investing with strategy and entertainment.
Mobile and browser-based Web3 games are really leading the growth of Web3 sports games. For example, Sorare is a fantasy football game in which users can collect officially licensed digital collectibles to create teams and play in tournaments. Lets users act as general managers to make strategic decisions for their teams while earning rewards. NBA Top Shot is another example where users can create teams, participate in challenges, collect highlights and earn rewards. Finally, games like ‘FootballCoin’, a browser-based Web3 game, allow users to be the manager of their team using player cards of varying rarity and value to influence strategy and play. Platforms like these engage existing and new fans in innovative ways, giving athletes and clubs space to shape legacies in the digital age.
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Web3 games serve as more than a new form of entertainment; it reevaluates how fans interact with sports and athletes. Allowing fans to connect directly with their favorite teams, sports and athletes will preserve and enhance the way fans think about their favorite athletes in the present, as well as a way to keep legacies alive, bringing fans closer the action comes and the connections are deepened, they feel involved in the game.
The role of digital collectibles in shaping athletes’ legacies will be transformative. These new experiences not only redefine the way athletes interact with their fans, but also democratize access to sports memorabilia and preserve pivotal moments in sports history. Blockchain-based collectibles and games allow athletes to take control of their digital presence and story, giving them a new way to share their stories and connect with fans around the world. By embracing these, athletes can transcend the boundaries of traditional sports marketing and make a lasting mark on the digital landscape.
Note: The views expressed in this column are those of the author and do not necessarily reflect those of CoinDesk, Inc. or its owners and affiliates.