Paris Saint Germain (PSG,) a French football team, is deepening its ties in SportFi following its latest role as a validator for the Chiliz blockchain.
The football team and blockchain platform have an existing partnership where the Chiliz chain hosts Paris Saint-Germain’s fan tokens.
PSG: Soccer’s First Chiliz Validator
Their new partnership makes PSG the first top professional football team to serve as a blockchain protocol validator. The club plans to reinvest funds generated from validating the Chiliz chain in buying back its tokens from public marketplaces.
A club official, Pär Helgosson, noted that the buyback would be automated and executed by smart contracts. Helgosson serves as PSG head of Web3. Helgosson explained that the buyback plans are part of PSG’s drive to create a self-sustaining economy. He said, “We’re aiming to build a sustainable tokenomics model together where the club, because of our role as a node validator, can use the profits to buy back fan tokens and use them to reinvest back into the fan ecosystem.”
We're excited to announce that @PSG_inside is partnering up with Chiliz to become the first ever sports club validator of a blockchain. 🤝🌶️
Paris Saint-Germain commits to reinvesting all validator revenue into buying back $PSG Fan Tokens. ⚽#ChilizChain ⚡ $CHZ
— Chiliz ($CHZ) – The home of SportFi ⚽🏆 (@Chiliz) February 22, 2024
In addition, the new role will provide new services, products, utilities, and rewards for PSG players, sponsors, and stakeholders. Interestingly, PSG and Chiliz plan to hold a blockchain hackathon at the famous Parc des Princes stadium this summer. The event would see developers design decentralized apps on the Chiliz Chain using PSG tokens.
Sports Teams Increasingly Adopt Web3
Chiliz founder, Alexandre Dreyfus, believes PSG’s role as a validator could open up football clubs to blockchain. Dreyfus explained that Chiliz plans to onboard more sports teams as validators.
Other sports teams such as AC Milan, Juventus, Inter Milan, Arsenal, FC Barcelona, and Manchester City, have dipped their toes into Web3 in recent years. And launched fan tokens and other collections.
Fan tokens are on the rise, gaining over 11% today!
The comes after news that South Korea's largest exchange, @upbitglobal, will be listing fan tokens, including AC Milan $ACM, Manchester City $CITY, Napoli $NAP, Arsenal $AFC, and FC Barcelona $BAR.
⚽ https://t.co/DUBqgoq1Ah pic.twitter.com/QCSWfpJAMs
— CoinGecko (@coingecko) January 5, 2023
Aside from serving as a stream of income for clubs, fan tokens also help to create a sense of community amongst the fans and improve their engagement.
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