What is an NFT?
The abbreviation NFT stands for “non-fungible token”. The word “fungible” describes a good that can be easily exchanged – such as money, gold or a digital currency like Bitcoin. While such a Bitcoin cannot be duplicated, it is as good as any other.
However, if an asset is not fungible, it has unique properties – such as a house or the Mona Lisa. NFTs are therefore digital tokens that can be thought of as certificates of ownership for virtual or physical assets. With NFTs, digital artworks such as image files or video clips can be „tokenized“ to create a certificate that can be bought and sold.
This gives them uniqueness, creating a scarcity that increases their value – after all, the Mona Lisa is only valuable because it is unique. So wherever people are willing to spend a lot of money on a passion for collecting, NFTs can provide the technical basis for a business model. And few groups collect as enthusiastically as sports fans.
What kind of benefits does that provide to athletes, teams and leagues?
It applies to not just sports personalities but any celebrity for example. So, imagine I am a well known football player and I have a huge fan base of a million users – a million followers on Twitter and Instagram – now I’d like to monetise my own personality and my own worth using that fan base that I have.
The way sports players do it is they contact an agency, for example, and this marketing agency then contacts certain products and then they shoot a video and they do advertising for that company and that’s how they make money.
The idea behind NFT’s and monetising yourself is can you actually change and remove some of those middlemen and directly serve your own fan base. For example, you could shoot a video, like a video to wish happy birthday to your favourite fan, and you can sell that NFT to your fan base directly. And that can happen because you have marketplaces which are developed on blockchain, on which you can just take your NFT, put that on sale and then anyone can buy that NFT from you.
You could even do auctions for your NFTs as well so you don’t even need auction houses per se – you could literally go to a marketplace, build on a decentralised network and then auction off your NFT as well. This way, what you’re doing is you’re sort of bypassing auction houses, bypassing your managers, your marketing personalities and agents, and have a direct connection with your fan base, and that’s very powerful.
Sportcash One will release in Q3 2021 the test net for a New NFT platform with the most fast and cheap transactions on the market