AFA partners with Win Investments to tokenize player training rights, creating new revenue streams for clubs and fan participation.
The Argentine Football Association (AFA) has launched an innovative partnership with fintech startup Win Investments to tokenize players’ training rights. AFA President Claudio “Chiqui” Tapia announced this groundbreaking initiative. It allows 28 premier league teams to secure financing through Win Investments’ platform.
On the other hand, one of the most significant aspects of this partnership is the opportunity for clubs to sell tokens representing the training rights of their players. These tokens cost 1,200 Pesos each and enable the growth of football talent in Argentina while providing clubs with a new revenue source. The objective is to improve football clubs’ financial viability and provide fans and investors with a way of participating in football.
AFA to Modernize Football Finances with Tokenized Training Rights
Valentin Jaremtchuk, CEO of Win Investments, noted the importance of the agreement. He described it as a revolution in funding for national football clubs while focusing on its ability to open up the player transfer market. “Selling these rights in digital form helps the clubs to fund their activities. In addition, it opens the participation in the high-stakes players’ trading market,” Jaremtchuk said.
Tapia added that it is a part of several reforms that AFA has been implementing to bring the financial management of Argentine football into the twenty-first century. “It enables anyone to stake in their preferred athletes and reap returns as those athletes triumph, thereby rapidly circulating the funds back to the originating clubs,” he said in a social media post.
Some of the strategies proposed by Win Investments include the digital distribution of FIFA’s “solidarity mechanism” through blockchain technology. This mechanism has been in operation since 2001 and enables clubs to get a percentage of the transfer fees for players they have nurtured even after they have been sold off.
The plan is especially needed because Argentina has 3,500 football clubs in 228 regional leagues. These clubs aim to develop young players, most of whom are budding national and international football talents.
AFA and Win Investments are creating a new model for club financing and fan engagement in the football industry with this partnership.
