Brazilian football club Avaí Futebol Clube announced the launch of its own cryptocurrency that targets an initial coin offering (ICO) of $20 Million capital raise, Inside World Football reported, September 12.
A New Chapter In Football History
Avaí Futebol Clube claims to be the “first football club” to do so. It partnered with SportyCo, a blockchain technology specialist, and football investment specialist Blackridge Sports. Expected to go on sale on October 3, the Avaí FC Token will be priced $1 with the sale period lasting for a month.
The club told the football news site:
“Our goal is to raise $20.46 million US dollars, with a minimum cap of 8 million dollars. A maximum of 20.46 million tokens (93%) valued at $1 will be available for purchase in the Crowdsale. A maximum of 1,540,000 AVAI Tokens (7%) will be retained by Avai FC.”
Partnering with SportyCo would ensure the club an online ecosystem for earning and spending the AVAI token. Marko Filej, SportyCo’s Co-Founder, added that with the ICO, they are opening “a new chapter in football and the sports industry in general.” In the beginning, token holders will be able to buy merchandise, tickets and unique experiences with the token, he said. The CEO promised these will be upgraded in the future.
For those who’ll purchase the token for trading, the token will be listed on several cryptocurrency exchanges. However, the club noted that if the trading value of the AVAI token drop, “it will always provide a valuable experience or service for token holders wishing to participate.”
ICO To Qualify For The Copa Libertadores
The aim to be promoted to Brazil’s top tier Série A is what reportedly drives the club to raise cryptocurrency for new money to support this objective. Through crypto, Avaí also targets to provide financial stability and contribute to the goal of qualification for the Copa Libertadores.
Avaí Futebol Clube President Francisco José Battistotti shared that they are also actively targeting a global football fan base through their ICO, while engaging all Avaí FC in Florianópolis and Brazil.
“We are delighted to do so in partnership with SportyCo and be the first sports company to do an initial coin offering, paving the way for other clubs all over the world to approach financing their sporting activities in this novel way.”
Still, should the crowdsale fail to reach the $8 million threshold, the funds will be given back to buyers at the end of the process. But if the sale achieves more than $8 million but is short of the $20 million goal, the club said it will be “burned,” meaning they will not be available to the club or come back on sale. The tokens already bought by investors will be the only ones available at the end of the ICO, with about 7 percent available to the club for promotions and bonuses.
In Northern America, where football is another sport, blockchain and professional sports company CrownThrown Inc. also announced its plan to raise $100 million through a pre-sale and an ICO this August. The firm said their purpose is to give back to fans of fantasy sports leagues.
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