CoinTrust

NFL Permits Blockchain Sponsorships without Use of Cryptocurrencies

The NFL gave clubs limited authority to pursue blockchain endorsements on Tuesday, reversing a decision made past summer, in the anticipation of moving forward with an innovation that teams and fans have become comfortable with.

Blockchains are digital records for documenting activities that, if correctly structured, can be virtually impractical to breach or alter with, allowing them to be used to produce and document digital money, referred to as cryptos.

They may also be utilized to generate and document trades using NFTs (Non-Fungible Tokens), which are utilized to keep track of who possesses what, generally intangible assets that exist only online.

After the conclusion of the latest phase of technology, the association now enables “marketing connections without incurring additional regulatory or brand damage,” but it still prohibits particular cryptos and fan tokens.

To put it another way, cryptos or fan tokens that give users entry to a variety of fan-associated membership benefits such as prizes, experiences, products, but voting on team policies are not permitted. Fan tokens are permitted in plenty of other games, such as various European soccer leagues, and perhaps some teams have eagerly accepted them. “Clubs will remain banned from straight forwardly marketing crypto,” the document states.

Exit mobile version