Introduction to Chiliz
There are very few things that, throughout history, have truly transcended international borders to effectively become a common language that is understood and spoken by all, and sports is definitely one of them. Culture has often morphed with different sports for thousands of years, and whole communities were built around sports events, teams, and in support of particular players. As years progressed, and as sports started to become more sophisticated, sports entities started to actively nurture fan engagement beyond the simple stadium support, for example, by offering digital memberships and loyalty programs, fan voting, augmented reality and virtual fan experiences, fantasy sports and also releasing exclusive NFT collections and digital merchandise.
Therefore, the question to ask is what is the next step in this evolution of fan engagement? Chiliz might well be the answer as the project is able to merge leading blockchain technology with fan engagement, offering brand new revenue streams and also new experiences. So, considering all of this, we think that Chiliz deserves our attention!
What is Chiliz?
Chiliz is a blockchain that is specifically built for entertainment and sports. It is designed in such a manner that it connects fans with their favourite teams, of course, using blockchain technology. Furthermore, the project also introduced new revenue streams beyond the traditional ticket sales, sponsorships, and merchandise to teams by enabling them to monetise fan engagement directly through Fan Token sales, NFT issuance, and blockchain-based loyalty programs. The project’s success can mostly be attributed to solving this engagement gap between fans and teams while offering teams monetisation opportunities beyond the traditional revenue streams. Acting fast and decisively, the project managed to land partnerships with teams for a wide spectrum of sports entities, inducing football clubs, Formula 1 teams, UFC and combat sports, and eSports teams, which ensured that Chiliz dominates the sports blockchain space and, therefore, giving it a competitive edge.
Let’s break down the project to discover it in more detail, starting with Fan Tokens.
Fan Tokens: Enhances Fan Experiences
Chiliz enhances fan engagement experiences through Fan Tokens, enabling token holders to benefit from exclusive benefits such as voting rights, VIP experiences, and rewards. Impressively, the project already has over 70 sports organisations that have launched Fan Tokens, and some of the names involved are truly some of the biggest brands in world sports. Consider FC Barcelona, Manchester City, and Paris Saint-Germain, who all successfully launched their Fan Tokens through the project.
Chiliz Chain Explained: Powering the Web3 Revolution in Sports
An important milestone for the project was the launch of the Chiliz Chain, a specialised, EMV-compatible layer-1 blockchain. Chiliz’s own blockchain allows for the creation of sports-related dApps, NFT marketplaces, and Web3 loyalty programs, all while being scalable and offering low transaction costs. Furthermore, the chain also supports the tokenisation of real-world assets in sports, such as tickets and collectables.
From Spectators to Stakeholders: The Power of Socios.com
Influence Club Decisions
After purchasing Fan Tokens, holders would automatically gain voting rights in various official team decisions, allowing them to influence aspects of their favourite teams. Just to give an example of fan-driven decisions, in the past, the Juventus club allowed holders of their JUV Fan Token to vote on kit designs, bus designs, and official team mottos, and even starting eleven. In 2019, the same club also allowed JUV holders to vote on which song should echo in Juventus’s Allianz Stadium after each goal scored. At the time, Blur’s ‘Song 2’ was chosen, and was played for the first time at the stadium when Juve won against Cagliari on the 2nd of December of the same year.
Obviously, Socios.com is not only for Football. AM are the Fan Tokens of the Aston Martin Formula 1 team, which give their holders the right to participate in official team-related polls. For example, Fan Token Holders chose the name of the communications room in Aston Martin’s new factory at Silverstone.
Official Club Merchandise and Signed Memorabilia
Fan Token holders are offered the opportunity to put their hands on unique and exclusive memorabilia, which would only be possible through the Socios.com platform, deepening their connection with their favourite teams. Fans can access a range of authentic gear, including signed jerseys, match-worn equipment, and limited-edition collectables, making these items highly valuable to passionate supporters as it allows them to own a tangible piece of football history.
Digital Collectibles & NFTs
Socios.com not only offers its users the ability to obtain unique and tangible collectables and Fan Tokens but also enables fan engagement through NFTs. For example, the platform also allows teams to issue NFTs celebrating events, such as the NFTs issued by AC Milan. During AC Milan’s match against AS Roma on October 31, 2021, the club launched the first-ever live “in-game” NFTs on Socios, transforming a captured moment of Zlatan Ibrahimović’s goal celebration into 100 limited-edition digital collectables.
CHZ: The Native Currency of the Chiliz Ecosystem
The CHZ token is fundamental for Chiliz’s ecosystem not only to enable the purchasing of Fan Tokens but the token may also be used for transactions, governance, and payments within the network. It should also be noted that additional utilities of CHZ are that it supports NFT transactions and also staking opportunities.
Chiliz Through the Years: How It Became a Sports Web3 Leader
2018: The Beginning
- Founded as a subsidiary of Mediarex Group in Malta to connect sports fans with teams through blockchain.
- Raised $65 million in funding, including investment from Binance.
2019: Launch of Fan Tokens
- Socios.com goes live, allowing fans to buy Fan Tokens using $CHZ.
- Juventus launched JUV, marking ground zero for Fan Tokens on November 28th 2019.
2020: Growing Partnerships
- Major clubs join: FC Barcelona, Atlético de Madrid, and Manchester City.
- Fan Tokens expand in popularity, increasing user adoption.
2021: U.S. Expansion & More Sports
- Expands beyond football to include NBA, NHL, NFL, UFC, F1, and esports.
- One million Fan Token Wallets: October 2021 marked Socios.com platform hitting one million users.
2023: Launch of Chiliz Chain
- Chiliz Chain mainnet goes live.
- In just about one year, the number of Fan Token Wallets increased from one million to two million.
2024: Continued Innovation
- Dragon8 Hard Fork announced to improve blockchain performance.
Introducing Chiliz Greenhouse: A New Era for Builders
Chiliz Greenhouse is a reward and incentive platform which is designed to reward individuals who contribute to the Chiliz ecosystem. Recently launched, the platform aims to reward individuals and teams that promote, discuss, provide feedback and support code development by offering rewards, bounties and micro-grants. Let’s have a quick look at some of the current open gigs!
Gig 1: Test the Platform & Share Your Feedback
This gig has three objectives.
Objective 1: Testing of the following key features:
- Profile setup.
- Browsing bounties and projects.
- Submitting applications.
Objective 2: Identification of potential bugs and identification of usability improvements.
Objective 3: The completion of a questionnaire to provide structured feedback.
How can you participate? Essentially, by following three steps
Step 1: Sign up on the Greenhouse platform and explore its features by clicking here.
Step 2: Complete a set of actions, including:
- Viewing available bounties.
- Checking project details.
- Interacting with key platform elements.
Step 3: Fill out a questionnaire covering:
- Usability.
- Clarity.
- Functionality.
- Overall experience.
What do you get in return? CHZ, of course, from a total prize pool of 25,000 CHZ!
Gig 2: Write a Twitter/X Thread: Chiliz Staking on Governance
The main objective of this gig is to create an educational Twitter/X Thread which clearly explains CHZ staking and the Chiliz Governance model in an engaging manner.
If this sounds like something you can do, you must follow the following steps.
Step 1: Follow Chiliz on Twitter/X
Step 2: Tag @Chiliz in your post to ensure visibility.
Step 3: Submit Your Entry on Greenhouse
Step 4: Meet the language and formatting requirements by writing the thread in English and by having a clear structure.
Click here to read more about this!
Conclusion
Chiliz is an exciting project that deserves attention because it is effectively redefining sports engagement by turning fans into stakeholders. We feel that this is the appropriate time to explore further the Chiliz ecosystem by joining Chiliz Greenhouse, by participating in bounties to earn CHZ and by discovering Fan Tokens, staking and more!
Interested in reading more?
Have a look at the following additional resources.
- Chiliz Docs: https://docs.chiliz.com/
- Chiliz Chain Overview: https://www.chiliz.com/why-chiliz-chain/
- Chiliz Ecosystem: https://www.chiliz.com/ecosystem/
- Chiliz Greenhouse Program: https://greenhouse.chiliz.com/gigs/details/test-the-platform-share-your-feedback
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This article is provided for informational purposes only and is not intended as investment advice. Investing in cryptocurrencies carries significant risks and is highly speculative. The opinions and analyses presented do not reflect the official stance of any company or entity. We strongly advise consulting with a qualified financial professional before making any investment decisions. The author and publisher assume no liability for any actions taken based on the content of this article. Always conduct your own due diligence before investing.
