• Top European Clubs Have Earned Astonishing £150 Million From Socios

  • Many of Europe’s top clubs have seen their revenue suffer as a result of the ongoing Covid-19 pandemic and the decision not to allow fans into stadiums on match days. Sales at the top 20 European clubs fell 12 percent in the 2020 fiscal year, falling to €8.2 billion.

    Investigating Other Revenue-Generating Options

    As a result, football clubs have turned to unconventional methods of increasing revenue to make up for the revenue shortfall caused by the Covid-19 pandemic. Socios Cryptocurrencies is one such avenue that has piqued the interest of clubs.

    Socios.com CEO Alexandre Dreyfus describes Socios as “a new way of generating revenue from a different fanbase than the traditional matchday ticket holder.”

    Top Clubs Increasing Revenue with Fan Tokens

    European clubs such as Barcelona, Arsenal, Juventus, Manchester City, and PSG have generated £150 million in revenue using Socios cryptocurrencies. Some of the clubs have each raised more than £20 million.

    Giving Supporters the Opportunity to Influence Key Decisions

    Socios takes its name and concept from the Spanish word for supporters of La Liga clubs such as Real Madrid and Barcelona. Fans can purchase fan tokens for £2 and, after downloading the app, they can vote on issues such as the naming of a training ground, songs to play after goals, and so on. The Socios app has been downloaded over 1.2 million times, with over 900,000 active users.

    A thriving “Transfer Market”

    Socios appears to have been the busiest of the bunch during the transfer window. Socios has already agreed to terms with a number of top clubs across Europe. Manchester City, Barcelona, Juventus, and Paris Saint-Germain are among the clubs represented on the Socios roster.

    It has also announced the launch of the Arsenal token, as well as a partnership with Italian Champions Inter Milan, in which the fan token will be advertised on the Inter jersey for the upcoming season. Socios has also expanded its presence in South America by signing a sponsorship agreement with Argentina’s top football league, which has been renamed the Torneo Socios.

    Such agreements have undoubtedly focused attention on the platform, which has been billed as a means of improving fan engagement in sports. However, the platform has received criticism and has been forced to close by one club supporter group.

    Reactions of Fans

    Socios is an example of a cryptocurrency making its way into sports. We’ve already seen NFTs and their massive impact on sports, with digital collectibles and key moments in games packaged as NFTs that fans can own. Fans who purchase the tokens will be able to participate in exclusive experiences.

    However, fan reaction has been mixed, with Socios’ emphasis on overseas fans not sitting well with domestic fans. Socios has been chastised by the Football Supporters’ Association, who stated,

    “Socios tries to monetize fan engagement, which leagues and clubs have agreed to do for free. There should be no financial barrier to participating in your football club’s activities.”

    West Ham United fans took a step forward when the club announced that it was the first in the Premier League to partner with Socios. West Ham United fan groups were outspoken in their opposition to the partnership, launching the “Don’t Pay To Have Your Say” campaign. West Ham United and Socios abandoned their plans for the West Ham token as a result of the campaign.

    While not entirely supportive of the London club’s plans to join the platform, Arsenal supporters were more measured in their response, stating, “It is a concern that the club is attempting to monetize fan opinion and engagement.” It also stated that the decision had not been discussed with the club.

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