Focusing on how cryptocurrency is changing the sports industry is the wrong angle to look at the issue. The relationship between cryptocurrencies and sports is a two-way street, with both influencing the other.
With nearly 600 cryptocurrency exchanges worldwide, it’s easier than ever to buy your first coins and begin using them. Added accessibility has spurred tremendous growth in the relationship between sports and cryptocurrencies.
Let’s examine some of the ways cryptocurrencies can change the sports industry forever.
Changing how players are paid
It’s not inconceivable to see players being paid part of their salary in cryptocurrency. Former Los Angeles Rams player Odell Beckham Jr. broke new ground in the NFL in the 2021-22 season when he decided to have his contract paid in Bitcoin.
While dismissed as a fad at the time, it’s an example of players making an investment from their earnings. In the same way that some employees have stock options, professional players could decide to invest in crypto options in an attempt to boost their net worth.
Even though this is a relatively new phenomenon, it’s a movement that could gain steam in the coming years.
Revolutionizing sports betting
The most popular function for cryptocurrencies is in the sports betting business. Cryptocurrency has successfully managed to infiltrate casinos, so the logical next step was online sports betting.
The rise of cryptocurrency has come at a fortuitous time because many states have been legalizing online sports betting since the federal ban on online gambling was lifted. An increasing number of sports betting sites now accept cryptocurrency as a method of payment.
We are also seeing the rise of crypto-first sports betting sites, which concentrate entirely on crypto betting. Make sure you do your research to find the best crypto sportsbook bonuses websites to ensure you’re getting the best deals.
Some of the advantages of using crypto for sports betting include:
- Low to no transaction fees
- Faster transactions
- Enhanced security
- Better privacy
- Overcoming traditional banking restrictions
While there’s a lot of uncertainty regarding the role of cryptocurrencies in the sports industry, this is one area that’s guaranteed to grow in the years to come.
However, you still need the right information to place your bets. Analyzing player stats, analysts’ predictions and gameday weather data can assist you in making the right decisions.
Transforming the way you pay
Cryptocurrencies and the broader blockchain have quickly been jumped on by sports teams around the world.
An increasing number of teams now allow crypto to be used to buy tickets and team merchandise. Although this is a relatively small change, it signals further gains made by crypto in becoming a mainstream currency for merchant purposes.
In the future, it’s not inconceivable that the majority of purchases could be made online through cryptocurrencies and the blockchain.
What about the wider blockchain?
No discussion on cryptocurrencies can be had without reference to the blockchain technology that supports these tokens.
It’s not just tokens that sports teams are focusing on but blockchain as a whole. Blockchain technology has the potential to reduce ticket fraud, provide anonymity for fans looking to make purchases and build technologies that improve engagement.
With regards to the last point, many teams are already looking into how to incorporate cryptocurrencies into fan engagement. Creating a tiered system of so-called super fans with special privileges could help to improve team loyalty and encourage people to get involved in the other activities of their favorite teams.
Finally, we have the rise of NFTs. The opportunity to own something truly unique is a selling point for fans who love their teams. Soccer club Manchester City FC is just one team that has experimented with the concept of NFTs in the last couple of years.
NFTs remain in their infancy, but they’re an intriguing use of the blockchain that’s extremely pertinent to sports fandoms.
Will cryptocurrencies change sports forever?
Cryptocurrency is not intended to flip the tables in the sporting world. On the contrary, it’s acting as a supplement to the systems that are already there.
It’s a concept designed to give people more options on how they attend games, purchase merchandise and engage with their favorite teams.
As sponsorship from crypto companies rises and professional athletes promote different tokens, this isn’t a fad and isn’t something that’s going to go away.
Cryptocurrency has changed the world as we know it. Although they haven’t lived up to the lofty ideals of their creators, they have firmly integrated themselves within several industries, including sports.
How do you think cryptocurrency will change the sporting world in the years to come?