06 Jan Ukrainian football club Dynamo Kyiv to launch blockchain-based fan tokens
Dynamo Kyiv wants to tap into an additional revenue source as stadiums remain empty.
Ukrainian football team Dynamo Kyiv is launching its own fan token and digital marketplace powered by blockchain technology.
According to a Monday announcement, the team has partnered with Moonwalk, a company specializing in creating digital economies for brands, to release a set of loyalty initiatives for its fans.
Dynamo Kyiv fans will be able to earn digital tokens for “social actions” such as playing prediction games or engaging with the club on social media. The tokens will then be spendable as reward points for accessing merchandise drops, joining VIP events or receiving discounts when purchasing goods at the stadium. The tokens will also allow fans to purchase digital collectibles on Dynamo Kyiv’s marketplace.
The tokens will be integrated into a mobile app, allowing holders to use them both online and offline.
The football club says the partnership will help mitigate some of the damage the coronavirus pandemic inflicted on the sports industry. As stadiums remain largely empty, an increasing number of football clubs are looking into alternative monetization sources.
Dynamo Kyiv joins a relatively long list of football clubs releasing digital tokens and fan loyalty programs. FC Barcelona, Atletico de Madrid, Paris Saint-Germain and Juventus are some of the biggest names that have launched similar programs in the past months, while other clubs like Zenit St. Petersburg and Bayern Munich launched digital collectible platforms. Dynamo Kyiv also joins fellow Ukrainian esports organization Na’Vi in launching digital fan tokens.
Ukraine has been openly supportive of blockchain technology at a government level, with its Ministry of Digital Transformation working on creating clear and welcoming regulations for digital-asset companies. Recently, it launched an educational course on cryptocurrencies in collaboration with Binance.
Dynamo Kyiv is part of Ukraine’s duopoly of football clubs, often contending for the first place in the national league with long-time rival FC Shakhtar Donetsk. It won the 2020 Ukrainian Premier League, though it failed to advance beyond the group stage of the Europa League and did not qualify for the Champions League.