With Bitcoin, Ethereum recovering, how are fan tokens like CITY, BAR faring?

Lavina Daryanani
Source: Forkast News

The crypto twist to sports is not new. Right from trying to keep iconic match moments evergreen by getting them minted as non-fungible tokens to making prominent sports players endorse projects from the space, the roots have already extended all over the place.

Quite similarly, to keep the fans involved, something called fan tokens were launched. As such, these tokens give HODLers access to a host of fan-related membership perks right from voting on club decisions, rewards, and merchandise designs to benefitting from other unique experiences. They help in tight-knitting the fan community together.

By doing so, most decisions get democratized and the same also aids in establishing club leadership among other things. However, it is essential to bear in mind that fan tokens are fungible like most other cryptos. This means that, just like fiat, the tokens can be exchanged for sports club merchandise, VIP experiences, etc.

How have top tokens been performing?

Fan tokens are cryptos that receive their worth from how much fans can participate in the club and reap benefits. They aren’t necessarily backed by the value principles of other top coins like Bitcoin, Ethereum, etc.

Having said that, it is interesting to note that just like how top tokens from the broader market showed signs of recovery on Monday, even tokens from the fan category depicted so.

Over the past day, the market cap of all tokens from this category had swollen up by 3.22% and stood at $244.6 million at press time. Bitcoin and co.’s market cap, on the other hand, had inclined by 5% to $1.27 trillion.

Their cumulative trading volume of fan tokens, on the other hand, had deflated by close to 10% and transactions worth merely $111 million have taken place over the past day.

Source: CoinMarketCap

As far as individual valuations are concerned, football club tokens like Manchester City Fan Token [CITY], Juventus Fan Token [JUV], and FC Barcelona Fan Token [BAR] were all up by 1-3% on the daily frame, while the largest token by market cap from this category, the Alpine F1 Team Fan Token [ALPINE], was up by 3% in the same 24-hour period.