It’s challenging as a potential investor to know where to put your money; with the volatility of the market and the sheer number of options available, the choices and decisions are almost endless. It’s been something that all traders have experienced at some point in time, and it’s no different in the world of cryptocurrency. From having around 66 options to choose from back in 2013 to over 7,500 potential investment opportunities in November 2021, according to Statista, it’s tough to find our little profitable slice of the pie.
Over the past 12 months, among these new opportunities, one proving to get quite a lot of attention is Chiliz (CHZ). The price of the CHZ has risen, and this year has proved to be a real boom for the currency as they’ve hit the news right across the world, and one of the main reasons for this is that CHZ is the crypto behind Socios fan tokens. These tokens, of which there is a finite number, are backed by CHZ and allow supporters of various sporting clubs and associations to engage with those in charge at their clubs via an encrypted ledger of voting rights ownership. It’s bringing a new connection method between the organisations and their stakeholders, bringing the two parties closer together than ever before.
As clubs see success, it’s influencing fans purchasing decisions, so these real-life events drive the market, rather than the usual fluctuations we see with Bitcoin, which makes CHZ a real interesting investment. One of the biggest demonstrations of this effect was when one of the best football players on the planet was making his move from Barcelona to Paris St Germain in the summer. Talk of Lionel Messi’s move to France in August saw trading volumes in the PSG fan token exceed over $1.2million (£900,000), with the value soaring over 130% in the process, France24 reported. Since the move, the tokens that had risen to $60 (£45) have dropped to $14.43 (£10.88) at the time of writing. It just shows how things can change the value of the fan token, so let’s take a look at how things have gone for CHZ, and where things may go in the future.
History of CHZ
In 2018, the total supply of 8.8 billion CHZ was minted at their launch. There were no public sales, and Chiliz distributed them between the contributors; the current circulation is around 5.9 billion. Since hitting a low point of $0.004 back in September 2019, there was a steady increase in value up to $0.028 just over a year later. But 2021 has been the best year to date, with a high of $0.879 being achieved in March following the announcement that Chiliz were to invest $60million in the aforementioned token offer. After a brief drop in price, the launch of the fan tokens took CHZ back to $0.59 in early November 2021.
Future fortune?
Some forecasters suggest that CHZ could raise to $1.06 within a year and more than quadruple that value in the next five years; it’s entirely feasible too. When considering the number of new partnerships being struck, which is taking the fan token offer to the NFL in the U.S., and a growing number of high-profile football teams also getting on board, it’s fair to assume that the future for CHZ looks very bright.