Chiliz Group Introduces Fan Token Play: Revolutionizing Sports Engagement

Chiliz Group has introduced Fan Token Play, a revolutionary system that links the supply of fan tokens to the performance of sports teams. This game-changing mechanism ensures that when a team wins, the supply of their fan tokens decreases, making them scarcer and more valuable.

The system uses smart contracts to execute supply changes directly via treasury-controlled mechanisms. A binary result (win or loss) determines the adjustment, with guardrails in place to prevent token supply from getting too low. This mechanism also includes a variable annual inflation rate linking to overall season performance of 1-5%.

Fan Token Play is expected to roll out in the coming months and has already been trialed in public execution flow tests in live markets. The introduction of this system is set to transform the SportFi market, with traders likely to take short- and long-term positions based on their forecasts of big games, league positions, cup runs, and more.