The Premier League of the eToro, which is a cryptocurrency firm has come up with its 27th season and they revealed that eToro, the trading platform has gone onboard with several sponsorship deals with 7 well-known clubs of the English Premier League.
A press release was held and it confirmed the fact that eToro is not going to pay for any kind of sponsorship rights in the form of a regular currency. The company’s plan is to pay in Bitcoin. Hence, the company will need the leagues to create their Bitcoin wallets in order to receive their funds. Visit yuanpay group to know more about this.
As soon as this was announced and the deals came out in the public, several clubs gave out statements that they will learn more about blockchain technology and cryptocurrency’s potential in context with football. The leagues also stated that they will try to study and understand the market and learn about its true potential.
The platform, eToro has also made a statement that it aims to ensure that all such transparency issues, ticket touting will be addressed by them. The company will also try to offer authenticity and guarantees for the merchandise. These efforts are definitely being made, and the ticket distribution technique, which is based on blockchain technology was also reported.
The advantages and the benefits of blockchain technology in the area of sports have been spreading rapidly. This is because these are being combined with smart contracts. Smart contracts are a way to put a limit on the resale price of these tickets to not more than say 25%. In a similar way, these tickets can also get programmed in such a way that they refund the amount on cancellation of a certain event, automatically.
Talking about the legal considerations, blockchain has a feature by which once your data gets stored, you cannot alter it. The transactions are immutable and these transactions come with several benefits. However, the backdrop is that the ledger has all of the immutable data and that can cause trouble. Transactions that are untraceable and secure have become the USP of several cryptocurrency platforms.
There is also a need to consider the jurisdictional issues as the blockchain nodes have the capability to be located anywhere all across the world. To make you understand with the help of an example, let’s say that a blockchain purchaser based in China, buys a ticket for the UK Premier League football, and the process of the transaction takes place through a node in Switzerland. In this case, which country has laws that will govern this purchase?
Hence, such transactions require new laws and provisions in order to govern them legally and appropriately. This will ensure that the disputes are also resolved properly.
In addition, the blockchain has a decentralized nature as it does not allow any central control. Keeping this in mind, it becomes risky and the allocation of liability in such an event needs utmost attention and consideration. Talking about the ticket vendors or the sports clubs, neither of them will be ready to take such a huge risk, and this leads us to the conclusion that it is important to create a legal relationship between the participants of the transaction. This is to ensure that the transactions are made with utmost care.
Now, let’s take a look forward. The blockchain industry changes with every passing day, and hence, one cannot be certain about the future. This also leads us confused as you cannot pin anything on any currency, be it in terms of advancement, or disruption. Digital currencies are highly volatile in nature. Coming back to eToro partnerships, all the seven clubs that are signing the deal with eToro will have to set up their Bitcoin wallets in order to receive their payments that will come from sponsorships.
The press release was very careful and they made it a point that the focus was not put on Bitcoin and as a matter of fact, the focus was put on the prospects of blockchain as it might bring transparency. As per eToro, blockchain will improve the experience of everyone across the world.
Moving ahead, the platform has also made everyone believe that cryptocurrencies have the ability to replace the normal money in terms of payments that are made in the transfer industry. It is not sure whether this industry would be attractive in the eyes of sports clubs in the future or not, but it the system might lead to success all around the world.
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