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National Teams’ Football Fan Tokens rallied as high as 47%, in anticipation of the FIFA World Cup 2022
In the lead-up to the FIFA World Cup 2022, major football fan tokens representing Argentina (Argentine Football Association Fan Token, $ARG), Portugal (Portugal National Team Fan Token, $POR), Brazil (Brazil National Football Team Fan Token, $BFT) and Spain (Spain National Football Team Fan Token, $SNFT) saw significant price increases. Between November 1 and just before the opening matches of the FIFA World Cup on November 21, tokens appreciated between 4% and 47%. ARG jumped the highest at 47%, followed closely by the POR at 45%. SNFT saw a 11% rise, and BFT experienced a 4% gain.
Wins and defeats in the World Cup directly affected fan token price performance
This year's FIFA World Cup was filled with unpredictability and upsets, with match results directly impacting fan token performance. During the group stages on Nov 22, Argentina faced a shocking 1-2 defeat, losing to Saudi Arabia. Immediately after, ARG tumbled 24%. On December 9 during the Quarter-Finals, Brazil was knocked out by Croatia, which resulted in a 53% drop in BFT. When Portugal suffered an unexpected defeat to underdog Morocco on December 10, also during the Quarter-Finals, POR slumped 20%. Spain’s upsets against Japan and Morocco, resulted in their elimination in the Round of 16. Consequently, SNFT token fell 17% after Spain’s match against Japan and a further 39% after losing to Morocco.
Argentine Football Association Fan Token climbed 23% in the lead-up to the World Cup Finals, and tumbled 47% after
Between December 16 and 17 before the FIFA World Cup Finals, Argentina saw its fan token ARG increase by 23%, from $5.14 to $6.36. After defeating France and winning the FIFA World Cup 2022, ARG fell 47% as soon as the nation was declared the champion. This trend is somewhat expected, as cryptocurrency holders likely sold ARG, following the ‘buy the rumor, sell the news’ behavior. In other words, with La Albiceleste's victory, plus Lionel Messi lifting the trophy, holding the Argentine Fan Token ARG no longer had any upside.
Football Fan Tokens used as a proxy to betting
National football team tokens saw wild price swings throughout the competition, which mostly occurred whenever a team won or lost. Fluctuations in fan token prices is potentially due to a lack of liquidity on exchanges that support their trading – buys and sells as small as $1,000 USD can cause prices to spike or drop, respectively.
Methodology
This study examines the percentage price returns of Fan Tokens representing National Teams that participated in the 2022 FIFA World Cup, from November 1 to December 19, 2022, namely:
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Argentina (Argentine Football Association Fan Token, $ARG)
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Portugal (Portugal National Team Fan Token, $POR)
These fan tokens were compiled from the Fan Token category on CoinGecko. Only national teams with verified fan tokens, and that passed tournament group stages, were selected.
If you use these insights, we would appreciate a link credit to this article on CoinGecko. A link credit allows us to keep supplying you with future data-led content that you may find useful.
Curious to find out more about our previous research studies? Check out this one we did on OpenAI's ChatGPT causing AI token prices to surge by up to 77%.
Shaun is a Research Analyst at CoinGecko, who has lived and breathed crypto since 2017. Previously a community manager for Synthetix and RedFOX, he dived down the crypto rabbit hole to grasp a better understanding of the industry. He now spends copious amounts of time on Crypto Twitter and Telegram, searching for the next idea for CoinGecko Research. Follow the author on Twitter @ShaunPaulLee
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