About Chiliz
Chiliz is a popular cryptocurrency for playing sports, enabling participation in the world’s first game with rewards – Chiliz.net. It is also the first game’s crypto exchange where players can trade supporters’ tokens and participate in voting and club-based pools. As such, tokens give fans the right to vote – the more tokens you have, the more voting power you have. Tokens also give fans access to discounts, promotions and limited content, test their game knowledge against each other, and win prizes like signed club merchandise.
At its core, Chiliz solves two problems: money and commitment. In addition to allowing players to have a small part of their favorite team and participate in their daily activities, the platform also allows access to business and games. This allows them to adapt their development strategy and progress in the global gaming industry.
Chiliz was founded in 2018 by Alexandre Dreyful, the founder of the tourism company Webcity and the founder of the largest online poker site in France, Winamax. Dreyful envisions how it can use blockchain technology to provide its fans with a seamless way to interact with their teammates and team members in a convenient way to monetize their global fanbases together.
This concept has grown into a successful global industry – blockchain unicorns are expected to grow to 300 by the end of 2022 – making game-changing changes in gaming and real estate entertainment services through fan brands and engagement platforms and Socios fan rewards.
How did Chiliz start?
Chiliz Events was founded with the aim of providing a platform for sports and entertainment enthusiasts to interact with their favorite teams. The team behind Chiliz envisioned a world where users can influence organizational decisions, connect with others, and help drive business.
To do this, money is needed. In 2018, Chiliz successfully raised $66 million and was listed on major crypto exchanges including Binance and KuCoin.
A significant part of the sum was used to create Socios – the reward of the supporters and the contribution tool – which started in 2019. Soon after that, a large sports hall joined the platform, which attracted a lot of attention. Some of them include Paris Saint-Germain, FC Barcelona and Atlético de Madrid. This eventually led to the participation of international teams such as Portugal and Argentina.
Key features
Evidence of staked rights
Although proof of work (PoW) has been recommended as a useful method to implement a decentralized network, it is not an environment that requires a large number of participants to maintain security.
Proof of Authority (PoA) provides some protection against 51% of attacks and better performance and tolerance to certain levels of Byzantine players (malicious or hacked). The POA system, on the other hand, is often criticized for not being as transparent as PoW, as the proponents have all the rights and are prone to corruption and security attacks.
Other blockchains, such as EOS and Cosmos, have introduced different types of Adjunct Proof of Stake (DPoS) to allow token holders to vote and choose the arrangement of supporters. It advocates decentralization and promotes local governance.
To integrate DPoS and PoA for authentication, Chiliz Chain 2.0 successfully inherits the following from the BSC, Parlia contract system:
Barriers are created from small supports.
Supporters take turns creating blocks in a PoA format, similar to Ethereum’s Clique consensus engine.
Internal and external developers are selected based on supporting governance in the Chiliz chain.
Parlia’s verification engine interacts with the system’s contractual framework to achieve reduced lifetime, revenue sharing and renewal services for manufacturers.
How does Chiliz work?
Fan Tokens offered for sale on Socios are not just collectibles. NFTs have used a single token to give its supporters social interaction with the group and influence on group decisions. Fans who earn tokens can have a say by voting in polls organized by Socios affiliates. For example, the football team Juventus FC allows the score holders to choose a ceremonial song that will be played over the loudspeakers when the team scores a goal. For eight years, Juventus played their goals with a song called the Chelsea Dagger. Those with Juventus fan tokens chose Blur’s Song 2 as a substitute, and the team made the change.
FC Barcelona fans have chosen a painting to hang on the team’s locker room wall. Paris Saint-Germain football players have chosen a message to put on the captain’s arm during matches. OG Team Exports allow players to choose an in-game flag that appears when playing in charity events. Spanish outfit Heretics supplies the team with allowing athletes to choose the design of the scarf they will wear during matches and selling it as sporting goods.
If you have an NFT of the same name used for the voting club, you will get one vote. If you have two NFTs, you get two votes. Your influence in decision-making increases as you earn more member tokens. This encourages users to buy, trade and earn more NFTs.
Teams and artists can offer other benefits to token users, including premium seats at events, live game events, team-owned merchandise, gamification programs, and leaderboards. As supporters get more NFTs of a named group, they get more benefits and a closer relationship with the group. Socios Partners offers NFT and Fan Token offerings. Tokens are stored on the Socios Proof of Authority sidechain. The price of fan shows goes up and down depending on the popularity of the team and the law of supply and demand.
