Arsenal is one of the clubs that embraced the crypto market despite its volatile nature, and they even formed a partnership that created a fans’ token with Socios.
This was meant to help the club raise some money and give the fans more voice in the organisation and running of their club.
However, the cryptocurrency market is still in its infancy, and the clubs embraced it far too early.
The Arsenal fans’ token which sold at $6 at the start is now worth around $1.50.
Financial expert, Dr Dan Plumley, believes Arsenal has let their fans down, and they have to be more careful is signing similar deals in the future.
He tells Football Insider: “When clubs were first starting these deals, we were in the middle of the pandemic. Clubs were trying to claw as much money back as possible and this was the train that nobody wanted to miss.
“However, they probably didn’t know where that train was headed, and now it’s come full circle. But I don’t think we have seen the last of crypto deals. Fan tokens are in the same spectrum.
“It’s clear that everyone has got their strategy wrong with these tokens. It did seem a little bit exploitative at the time and a way to make more money from fans. We have seen that manifest in all sorts of ugly ways.
“With this crash, clubs are going to have to look at things differently if they are going to do these deals again. A lot of fans have been burnt by this and it leaves a bad taste.”
Just Arsenal Opinion
We need to be very careful about what we introduce to the fans, and the club will learn from this deal.
The Crypto crash means some fans will certainly lose their trust in doing business with the club, but outstanding performances on the pitch will make up for it.