NFL Taps Into Blockchain and Crypto for Global Growth

NFL Blockchain Partnership Driving Global Expansion

Cryptocurrency has long been an outlier in the financial world as investors hesitated about the supposed volatility of this “invisible” currency. However, the narrative is now changing blockchain. Markets are beginning to open after some prominent names started to endorse and sell crypto-related services and products.

This new technology is undoubtedly changing and challenging traditional investments such as bonds, shares, and stocks.

Unlike other stock markets, crypto never sleeps. Companies can manage their portfolios continuously. Although it can be volatile, the advantages are multiple, and the industry follows the money.

Cryptocurrency makes it easier to transfer money, eliminating third parties. It can also streamline organizational processes, such as processing payments and reducing transactional costs. Where spending and administration can be improved, interest will always be high.

While the disruptive nature of blockchain technology advances, the sports industry is becoming more entwined with a model that used to be niche. Athletes like Serena Williams and Lionel Messi have become actively involved in the decentralised systems that Bitcoin enterprise can offer.

The legendary quarterback Aaron Rodgers, who has won four MVPs, revealed that he received part of his salary through Bitcoin.

Like NFL spreads, the Steelers player brought the product to the people. To prove it, he even gave away $1 million of his income to fans through his mobile payment system to make it accessible.

The idea of digital wallets and cash started to turn heads. One such example is the increasing crypto collaboration with the National Football League

The NFL is the richest sports league in the world regarding revenue and has to keep ahead of the curve. With the rise of blockchain technology worldwide, the league is always looking for new ways to attract sponsorship deals, engage with the fanbase, and try to make the match-day experience even better 

Crypto.com was famous for signing a significant partnership with UEFA for its Champions League product last year, and it didn’t take long for the NFL to follow suit as it secured a deal with Austrian crypto broker BitPanda to promote its European arm. 

The partnership offered players exclusive fan experiences, including access to the NFL game in Germany between the Carolina Panthers and the New York Giants, official merchandise, and customized content. In return, the company gained broadcasting rights with big NFL broadcasters like DAZN and RTL. 

The big NFL franchises are seeing and seizing opportunities with the rise of crypto. However, the wider league rules are more cautious until a more universal strategy with sponsorships is developed. No teams or players can sign deals with cryptocurrency trading firms, but that hasn’t stopped some crucial steps forward.

In 2022, a fan token platform called Socios signed a deal with 13 NFL teams, including the San Francisco 49ers, Washington Commanders, Miami Dolphins, Philadelphia Eagles, New York Giants, Baltimore Ravens, and Chicago Bears. The package included in-stadium advertising with Socios, organizing fan experiences such as meet-and-greet events, and VIP access.

Therefore, some landmark deals are win-win for both the company and the supporter, and they are small steps towards more widespread acceptance. In 2019, the Miami Dolphins became the first franchise to accept cryptocurrency payments for tickets and merchandise.

Four years later, the Dallas Cowboys used blockchain-based ticketing for some selected matches, which reduced the chances of counterfeit sales and allowed tickets to be resold at an authentic price.

Undoubtedly, blockchain's value is mutually beneficial at its best. Fans don’t just see stadiums as places to watch the big match. It has to be an interactive, inclusive experience, and digital content is a must to grab the youth. In 2021, the NFL launched an NFT marketplace of digital collectibles, including game highlights and player cards. It generated over $50 million in sales within the first six months.

The possibilities are endless. The Los Angeles Rams ran digitized tokens for purchase in 2022, giving fans the chance to have a voice in certain team decisions. By the end of 2023, more than 200,000 supporters had bought into the idea, creating a sense of community. That’s how sports and sports teams grow. It’s so easy to lose fans when big business takes over.

A recent study found that crypto brands increased their sports sponsorship spending by 20 percent year over year to well over $550 million.

For all the initial reluctance associated with the currency's lack of physicality, its positioning as a disruptor could be exactly what the NFL needs as it chases its stated goal of international expansion. Conservative approaches don’t always make the grade.