Europe’s top clubs raise $200 million selling virtual tokens to fans

Some of Europe’s top soccer clubs have made $204 million through an app that allows fans to buy virtual tokens (virtual tools similar to cryptocurrency) in exchange for participating in some of the club’s decisions.

Tokens are purchased via the socios.com app, which has nearly one million registered users, according to the Telegraph. These groups of supporters have raised concerns about pushing users into risky investments without sufficient information about them.
Alexander Dreyfus, founder of the app, told the newspaper: “I understand why people are challenging us, but that is exactly why clubs like us, because they see it as extra revenue.”

“It doesn’t affect their other revenue, and that’s important. It doesn’t touch ticketing or marketing. It’s additional revenue for a new type of consumer, these digital fans all over the world.”

Socios, which means “partners” in Spanish, is aimed at young fans who fully show their dedication online. Tokens usually cost around $3 each, and the more a fan has, the more benefits he or she can get.

These benefits can range from having a say in playlists on the field or the opportunity to play on the field, among others.

Superstar Lionel Messi this month attracted Paris Saint-Germain’s interest in part to the idea, as the club’s virtual tokens increased in the run-up to the move but have since declined.

The clubs receive revenue in the form of direct payments from Socius.com, and so far Arsenal, Leeds United, Barcelona, ​​Juventus and Manchester City have signed in addition to the French club.

Dreyfus said clubs were convinced by his vision to monetize fan interaction. The UK Football Supporters Association said it has received complaints from several fan groups about the way the platform is being marketed.