A soccer team in Brazil, Avaí Futebol Clube, decided that it was time to do more to improve the funding for their funding. The Series B team made an announcement today that they would be working on creating their own cryptocurrency, which they plan to fund with a $20 million initial coin offering (ICO) project.
Much of the reason that Avaí Futebol Clube wants to get involved in the cryptocurrency industry is to promote a digital ecosystem for fans of the sport and their team. However, the effort is not entirely selfless – they also are working to qualify for Series A of Brazilian soccer, which is the top tier. This would ultimately push them closer to the Copa Libertadores competition as they strengthen their infrastructure.
In a report from Inside World Football, it seems that the club will be selling the 20.46 million tokens for a dollar each, though they plan to hold onto 7% of the tokens, which is about 1.54 million tokens. To work on this project, Avaí Futebol Clube is joining forces with SportyCo and Blackbridge Sports.
The president of Avaí, Francisco Jose Battistotti said,
“With our ICO, we are actively … engaging all Avaí FC in Florianópolis and Brazil, working together towards our goal – to become a stable member of Brazil's Série A and qualify for the Copa Libertadores. 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.”
Anyone who makes a purchase will have the option to use the tokens towards the purchase of tickets and merchandise for the soccer team, but they can also trade the tokens. If the club does not reach their monetary goal for the ICO, they plan to return all of the funds to the investors that contributed. However, if they manage to reach at least $8 million, then the tokens that remain unsold will be burned.
Along with Avaí, a French club called Paris Saint-Germain announced the day before that they want to use cryptocurrency as an incentive instead, rather than a way for them to raise funding. PSG tokens will not take on a monetary value, and will instead give fans a standing during votes, like when the team decides on a different jersey.
This ICO token sale starts on October 3rd.