Tokenization in MMA and why it is beneficial

Crypto and tokenization have become very popular in sports. The vast array of opportunities provided by the development of cryptocurrency is visible in numerous fields and sport is no exception. It is beneficial and useful because it attracts people and supporters around the world. We can remember the case of Juventus when the club launched collectibles, and this move was met with acclaim. 

MMA and the UFC, in particular, are not an exception and in February this year, the tokenization has started. This article will talk about this topic and why it is beneficial.

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The partnership between Dapper Labs and the UFC

Dapper Labs, the company responsible for creating CryptoKitties, has announced a partnership with the UFC on 25 February 2020 to provide a new digital experience for MMA fans around the world.

Dapper Labs is a cryptocurrency company best known for creating CryptoKitties, which is a blockchain game on Ethereum that allows players to buy, breed, collect, and sell virtual cats.

Typically, blockchain technology is used to purchase and exchange digital assets in order to obtain monetary benefits. CryptoKitties was one of the first examples of the use of crypto technology for entertainment purposes.

Now the organization plans to do the same with the UFC. Dapper Labs intends to release UFC-branded collectibles to give fans the opportunity to get their own UFC virtual fighters. These encrypted digital assets will allow fans to store, sell, or exchange them on the Flow Dapper Labs platform.

Remember that earlier the Litecoin Foundation became the official sponsor of UFC 232. The cryptocurrency logo could be seen on the cover of the octagon; in addition, it was advertised during breaks.

Blockchain has another useful area of application. Recall that soon the Union of European Football Associations (UEFA) will distribute tickets for football matches through a special blockchain application. According to official representatives of the organization, this approach will significantly speed up and secure the passage of fans to the stadium.

Unlike CryptoKitties, which runs on the Ethereum platform, Flow is the new blockchain created by Dapper Labs. The company has already raised $ 11 million in funding for the blockchain, which is expected to be launched before 2021. Dapper Labs decided to create their blockchain architecture to solve the scalability problems present in modern blockchains.

The result will be a platform that will contain tokenized images of MMA fighters. They will work on the principle that Tamagotchi gained popularity in the 90s, so fans can train fighters, improve their level and even manage the nutrition of the “ward” to provide him with the right weight.

Why it is a good move and useful?

In general, the main importance of tokenization lies in security. Cryptocurrencies provide a high level of anonymity and security to customers. Moreover, as has already been mentioned above the UFC is a very popular league, and the move of tokenization will act as an incentive for supporters around the world to start using the service.

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