Deloitte emphasised the untapped potential of the crypto ecosystem, which is mostly powered by blockchain, to expand the sports industry’s market.
However, Deloitte, one of the Big 4 accounting companies, believes that in the next few years, the industry will embrace crypto and blockchain technology even more with instruments like Fan tokens and NFTs.
Deloitte stated the following regarding NFTs and Fan Tokens:
“Sports collectibles, tickets, betting, and gaming will form a nexus. We’re only scratching the surface of cryptocurrency’s possibilities and the new marketplaces it may open up.”
Deloitte’s 2022 sports market outlook research predicts a growth in blockchain-enabled innovations, with “the use of NFTs, crypto, fan tokens, and ticket innovations growing and evolving.”
“Moving beyond NFTs,” Deloitte predicts that the sports industry will soon begin using blockchain to connect fans with season tickets. While the first step toward this goal would be to link game tickets to NFTs as a way to reward fans, smart contracting advancements might possibly open up new use cases.
Smart contracts can help sports teams and organisers generate new revenue streams by streamlining operations like dynamic ticket pricing and resale. On the other hand, Deloitte identified four major elements that the ecosystem must address: establishing new standards, educating fans, and addressing compliance and tax consequences.
NFTs have also hastened the merging of the real and virtual worlds in sports, according to Deloitte’s research, with over $2 billion in sports-related NFT transactions projected in 2022 alone.
The Hoop Hounds project, an NFT project aimed at increasing National Basketball Association (NBA) fan engagement and providing substantial real-world utility for the tokens, was recently launched by Australian media company Basketball Forever, in support of Deloitte’s report on the rising NFT trend across the sports industry.
Hmm, I wonder when IPL fans will also have Fan tokens and NFTs.
Read more: Paul Krugman slams institutions for riding blockchain bandwagon
