Manchester United goalkeeper David De Gea would be a Real Madrid player now if football had embraced blockchain technology, according to Cryptech World.
De Gea’s switch from Old Trafford to the Santiago Bernabéu Stadium famously fell through in 2015 because the paperwork was not submitted in time for the transfer to be completed.
“There are major gains to be made with regard to sponsorships and the way clubs interact with all their business partners,” says Omar Jackson, Director of Cryptech World. “The buying and selling of players becomes faster, more efficient and more cost-effective if all the information needed to complete transfers is kept on a blockchain. This will be particularly important on deadline day to make sure last minute deals go through. It will also bring more transparency by recording payment of player and agent fees to show what percentages of transfer fees goes where.”
Cryptech World claims that it has been approached in recent weeks directly and indirectly by more than ten football clubs, most of them from the Premier League, as well as the English Football League Championship, La Liga in Spain and Serie A from Italy. Discussions are at an early stage, it adds.
“Football is a business, profit is vitally important to the clubs, and blockchain can help them cut costs massively, making many processes more efficient, saving time and money,” says Jackson. “We are welcoming these conversations and the clubs we’re talking to are all interested in learning more about how blockchain can benefit their business; there are many ways for this to happen.”
Blockchain will help eliminate the traditional problem of forged match day tickets, tackle the issue of touts snapping up blocks of tickets to sell at inflated prices and, perhaps most importantly, help bring down the cost of football and supporting clubs.
“The recent move by France’s Paris Saint-Germain to partner with blockchain platform Socios.com highlights how clubs can use their own cryptocurrencies to build a stronger bond with fans,” says Jackson. PSG is launching a Fan Token Offering (FTO) giving supporters access to branded club tokens. These make it easier to buy club merchandise and tickets, and also give fans voting rights on matters such as player of-the month awards and stadium music.
“All team sports, especially cricket, can benefit enormously from blockchain. F1 will be a huge arena to implement the technology too,” Jackson concludes.
Disclaimer: The views and opinions expressed by the author should not be considered as financial advice. We do not give advice on financial products.