Our monthly report delves into insights from options volatility to inspire your next crypto move.

Following the significant expiration of contracts on Dec 27, 2024, and despite the largest single-day expiration in crypto derivatives history, the anticipated spike in volatility did not materialize. Instead, the realized volatility of BTC, ETH and SOL declined, defying expectations. Key takeaways include the following:

Please check out the report’s highlights.

Market Dynamics Post-Expiration in December 2024

Although the December 27 expiration saw over $435 million in contracts expire, the actual market response was muted. Only $65.53 million of BTC options expired 

 (ITM), indicating that the majority of significant contracts expired worthless. The clustering of ITM puts and calls at high strike levels (between $70K and $105K) highlighted the lack of significant hedging activity that typically drives volatility during expiration events.

As a result, realized volatility for BTC, ETH and SOL fell, with the most notable declines observed in the days following the expiration. This trend reflects a market environment in which sophisticated trading strategies haven’t led to the anticipated volatility spikes, indicating a cautious sentiment among traders.

Could $100K Hold This Time? — and Volatility Premiums

Despite the lack of immediate volatility following the expiration, forward-looking volatility expectations for 2025 remain elevated. Implied volatility levels for BTC and ETH have traded sideways, but the premium over realized volatility is at its highest since before the Nov 5, 2024 U.S. elections, suggesting traders are preparing for potential future price swings.

The term structure of implied volatility indicates a stable demand for short-term options, even as the market navigates a quieter winter. Meanwhile, the return to BTC prices above $100K hasn’t seen the same level of inversion in term structure as previous rallies, suggesting a less aggressive market stance. However, a bullish call-skew in shorter-tenor volatility smiles indicates ongoing optimism among traders regarding potential price movements in the near future.

Advanced

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Bybit X Block Scholes Option Volatility Report (January 2025): Reflections From Year-End Expirations; Will $100K Hold This Time?

Discover Rifampicin (RIF), a Solana-based token merging decentralized science with longevity research on Pump.science. Explore live experiments, gamified funding and predictions.

Rifampicin (RIF) is the gamified compound token for the Rifampicin experiment, representing longevity research conducted with the compound Rifampicin. As part of the 

 (DeSci) movement spearheaded by Molecule and 

, RIF is connected to the Pump.science platform, which leverages blockchain’s decentralized nature to democratize access to research and innovation.

This guide explores what Pump.science is, the RIF token (including its launch and trading) and the way Pump.science seeks to address critical challenges within longevity research.

 highlights three core challenges in developing life-extending interventions.

Traditional research, such as that conducted through human and mouse trials, is often slow and expensive. With more potential drug molecules than atoms in the universe, high-throughput methods are essential. Pump.science leverages blockchain and gamification to balance speed, cost and quality, accelerating discoveries while maintaining data integrity.

 is a blockchain-based research protocol that democratizes the process of conducting and funding scientific experiments, with a focus on longevity research. By breaking down barriers to scientific innovation, Pump.science fosters a more inclusive and creative environment for discoveries.

The platform allows users to propose longevity-focused drug regimens, test them on experimental platforms such as 

 (with plans to expand to other models) and retain ownership of the resulting intellectual property (IP). Results are transparently shared for community review and collaboration.

Think of it as a virtual arena for scientific experimentation, in which regimens compete to extend lifespans. The Colosseum is now a petri dish, the gladiators are microscopic organisms and their weapons are cutting-edge longevity strategies.

How Pump.science Aims to Solve the Longevity Trilemma

Pump.science uses tools such as WormBot to gamify research, creating a Percentage Life Extension (PLE) score as a benchmark for success. Here’s how the basic process works:

This approach reduces research costs, democratizes participation and introduces a transparent, collaborative system for scientific advancement.

Pump.science is a blockchain-based platform that decentralizes and funds longevity research through gamified experimentation. Its process includes the following steps:

This milestone-driven approach combines accessible funding with transparent experimentation, enabling a collaborative and efficient path to discovering effective longevity compounds.

Pump.science integrates decentralized funding with structured, milestone-based experimentation, ensuring each stage is financially feasible and tied to measurable thresholds, as follows:

These thresholds are informed by extensive analysis of historical trading data on platforms like 

, ensuring alignment between funding goals and realistic market behavior.

Efficient and Transparent Research Funding

This structured funding model reduces reliance on centralized gatekeepers, enabling community-driven innovation and collaboration.

 (RIF) is a token on the Solana blockchain that represents ownership in longevity experiments using the compound Rifampicin. Traditionally an antibiotic, Rifampicin is gaining attention for its potential anti-aging properties. Studies of 

 (worms) suggest Rifampicin enhances cellular defenses against stress and damage, extending lifespan by maintaining protein quality and reducing oxidative stress.

On Pump.science, investors can fund and monitor real-time experiments by using RIF tokens.

The RIF token represents intellectual property and experimental rights for Rifampicin on Pump.science. Participants can trade the token and view data from studies that assess its impact on longevity. Its tokenomics ensure efficient funding, as well as transparency and scalability for advancing scientific discovery.

As trading scales, RIF tokens empower participants to fund and benefit from transformative scientific breakthroughs.

 (FDV) of $42 million, reflecting its total supply of 1 billion tokens. Its price performance indicates its potential, as follows:

Pump.science’s clear and ambitious road map for 2025 indicates that the platform is set to expand its impact on decentralized longevity research.

By integrating RIF tokens and leveraging blockchain for funding and data sharing, Pump.science is transforming longevity research into a collaborative and gamified frontier.

Rifampicin (RIF) is now available to trade as a Bybit Perpetual contract. Trade 

Intermediate

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Rifampicin (RIF): Gamified Decentralized Science

Fuel (FUEL) redefines Ethereum Layer 2 with modular design, parallelized transactions, and developer-friendly tools, enabling scalable, low-cost DApps.

 blockchain solutions have mushroomed over the past few years. As a result, developers have a solution for building efficient, low-cost and scalable 

 (DApps), a phenomenon mainly driven by Ethereum's network congestion, poor scalability and high transaction costs. However, many of these Layer 2 networks continue to suffer from performance issues, albeit not to the extent of 

 network. Some blockchain technicians have attributed such performance limitations to the monolithic nature of these platforms.

Fuel is a Layer 2 solution for the Ethereum blockchain that aims to address these problems by adopting a highly modular design and technical innovations such as parallelized transaction processing. Having started as an 

, one of the first of its kind within the world of Ethereum, Fuel has evolved into a modular, high-performance execution layer designed to help developers build scalable DApps. While offering an efficient, high-performance execution layer, Fuel utilizes Ethereum's own data availability (DA) and 

First introduced in 2020, the Fuel project entered a new era at the tail end of 2024 with the launch of its native token, FUEL, and a sharper focus on providing high-performance execution layer infrastructure.

 (FUEL) is a Layer 2-focused blockchain infrastructure project offering a high-performance modular execution layer while utilizing Ethereum’s Layer 1 DA and consensus layers

.Fuel was initially launched in December 2020 as one of the earliest optimistic rollups for Ethereum. Over the next several years, the project’s team refocused their efforts on delivering a modular, scalable Layer 2 solution with its own execution layer, externalizing the DA and consensus layers.

The result of this new approach is the current Fuel network, sometimes referred to as Fuel V2, which acts as what the project has called an operating system for Ethereum rollups. In essence, Fuel V2 offers developers a convenient and flexible way to launch rollup networks and DApps that leverage Fuel's modular architecture principles — an internal and highly scalable execution layer interacting with Ethereum's DA and consensus layers.

Rollups developed using the Fuel framework will feature significant mutual interoperability, in addition to the core benefits of scalability, low costs and Ethereum-supported security. The project’s team launched the first of these Fuel-powered rollups, Fuel Ignition, in October 2024.

As of early 2025, Fuel is actively building an infrastructural ecosystem to support Fuel Ignition and other Fuel-based rollup networks. For instance, users can already take advantage of the platform's native 

, Fuel Wallet, which lets them interact with DApps based on Fuel-powered rollup networks.

Fuel is also actively working on decentralizing its network to enhance security and performance. While a typical rollup solution uses a single sequencer node, a key network actor responsible for both block-building and proposing blocks to the underlying Layer 1, Fuel separates the roles of the builder and the proposer between distinct nodes. Fuel has already completed Phase 0 of its sequencer decentralization initiative, and operates 12 proposers and a single builder. Phase 1 will introduce multiple builders, along with around 100 proposers. The final stage of decentralization, Phase 2, is envisioned to feature as many as 10,000 sequencer proposers.

Fuel aims to be developer-friendly, and offers blockchain developers a toolbox called 

 to facilitate easy scripting and deployment of 

The project's developer is Fuel Labs, a Vancouver (Canada)–based blockchain development company founded by John Adler and Nick Dodson in 2019.

Fuel-based rollups boast performance and security benefits, thanks to several technological innovations, particularly a modular design, a highly secure 

 address model and parallelized transaction processing.

Fuel's technical advantages are based on architectural modularity. Most other rollups use Ethereum Layer 1 only for consensus, internalizing their execution and DA layers. Sidechains, another popular Layer 2 network type besides rollups, often keep all three blockchain layers under the hood. Such monolithic designs may limit scalability or security — or both.

In contrast, Fuel internally handles only the execution layer, allowing the overall platform to remain highly flexible and adaptable. Some other modular rollups adopt the same approach, but they often outsource their DA layers to partnering DA providers, many of which are small projects with less established security profiles. Fuel, on the other hand, utilizes Ethereum Layer 1 directly for both DA and consensus. Since Ethereum is one of the industry's most secure and decentralized platforms, Fuel's overall modular setup enjoys high levels of security.

Another key security advantage of Fuel stems from its UTXO transaction model. While Ethereum and many Ethereum-linked Layer 2 chains employ an account-based model, Fuel utilizes a UTXO setup in which each network address contains unspent amounts from earlier transactions, and each transfer represents an exchange of these unspent funds. First implemented by 

’s blockchain, UTXO is regarded as more secure than Ethereum's account-based model, particularly with regard to protections from 

Fuel's UTXO model also features another critical performance advantage — namely, support for parallel transaction processing. At runtime, Fuel's processing engine determines which transactions don't overlap, in terms of the addresses and UTXO amounts involved. Non-overlapping transactions are then processed in parallel, delivering significant scalability and throughput advantages.

FuelVM is the platform's processing engine. Fuel's virtual machine (VM) is a register-based system designed to optimize performance and parallelized transaction execution. Register-based VMs are one of the two most popular types of VMs, along with stack-based systems like 

 (EVM). Within a stack-based VM, data is stored in and retrieved from a temporary memory stack during transaction processing. In such systems, data pieces are stored and accessed in a last-in, first-out (LIFO) fashion, creating performance bottlenecks, such as a need for frequent instructions or a lack of direct access.

In contrast, a register-based system such as FuelVM processes data pieces held in registers — separate labeled storage areas. Such a design delivers performance benefits in the form of fewer instructions, enabling a more straightforward implementation of parallelized processing.

Sway is a programming language for writing Fuel-based 

. It's a domain-specific language, adapted to the needs of blockchain developers. Sway is based on Rust, a popular general-purpose programming language that emphasizes performance and concurrent processing. Since Fuel heavily leverages parallelized processing in order to achieve its scalability and throughput benefits, the Rust-based Sway is an optimal language for the Fuel platform's smart contracts.

While Sway has inherited many of Rust's properties, Fuel Labs has specifically adapted it for blockchain-based smart contract development. As such, blockchain development with Sway is typically easier and more efficient than using Rust.

Fuel Ignition is the first rollup network to leverage FuelVM. We noted earlier that Fuel is essentially a high-performance execution layer that developers can leverage to launch custom rollups. Theoretically, many different Ethereum-linked rollup chains can utilize Fuel and become part of the platform's ecosystem. Fuel Ignition represents the first step in this direction.

Fuel Ignition features one-second block times and gas fees that are small fractions of a cent. According to the project's public communications, transaction fees on Fuel Ignition can be lower than $0.0002. The Fuel Ignition Layer 2 chain utilizes Ethereum's DA layer. It optimizes the cost and efficiency of data processing on the underlying Layer 1 through the implementation of 

, an experimental Ethereum feature that uses bundles of data called "blobs," instead of standard transactions.

Fuel Ignition boasts a throughput of over 600 

 (TPS) on the Ethereum DA layer. It also features a high TPS per CPU core, with a throughput of 21,000 TPS per CPU. With parallelized processing and high TPS per core, Fuel Ignition is ideally suited for mass adoption on consumer hardware.

Another distinct feature of Ignition is its nearly universal support for Ethereum and 

 (SOL) native wallets. As of early January 2024, the blockchain already has over 60 live DApps operating on it in areas ranging from 

FuelProver is the platform's hybrid proof-generation solution that combines the features of optimistic fraud proofs and 

. Rollups pass these proofs along with blocks of transactions to the underlying Layer 1 chain to help validate transaction data. Optimistic rollups generally offer lower computational overheads, while ZK-rollups feature greater security. FuelProver is envisioned to combine the benefits of the two rollup types, helping developers integrate Fuel's execution layer into both varieties.

Fuel's native cryptocurrency, FUEL, is an 

 token issued on the Ethereum blockchain in December 2024. One of the token's key functions is to support the project's decentralized sequencer network, which is based on the 

 (PoS) validation method. The network utilizes FUEL to secure its operations via staking and stake delegation. Sequencers are rewarded in FUEL for their transaction processing activity. Other platform users can delegate FUEL to preferred sequencers to earn a share of the rewards.

Developers pay in FUEL to utilize the platform's resources, such as access to DA. Gas fees on the sequencer network are also paid in FUEL tokens.

The FUEL token is also used for Application Specific Sequencing, whereby users can bond their FUEL to a specific DApp and earn staking rewards from that application.

FUEL has a total supply of 10 billion, with an annual supply inflation of 3%. The image below details the token’s distribution:

The Fuel project has announced a genesis airdrop campaign, during which 10% of the FUEL supply (1 billion tokens) will be distributed to more than 200,000 eligible addresses. Recipients include various groups of early adopters, including testnet users, holders of NFTs on Fuel Ignition, those bridging funds to the blockchain, active gas users and open-source code contributors. The airdrop is active between Dec 19, 2024 and Jan 19, 2025.

The FUEL token can be purchased as Spot pair (

) on Bybit. As of Jan 7, 2024, FUEL is trading at $0.067, which is 19.8% lower than its ATH of $0.08375 on Dec 29, 2024 and 78.5% higher than its ATL of $0.03762 on Dec 20, 2024.

Until Jan 14, 2025, 8AM UTC, you have the chance to 

 by embarking on Bybit’s Puzzle Hunt! To earn FUEL rewards, start by registering for the Puzzle Hunt event. Then, collect puzzle pieces either by completing simple daily tasks or receiving the pieces from your friends. If you complete three consecutive puzzle pieces, you can earn achance at a lucky draw to unlock even more FUEL rewards. Additionally, be among the first 600 participants to complete the entire puzzle, and you can claim 5,000 FUEL!

Fuel’s network offers developers a unique environment in which to spin off Ethereum rollups. The developer toolchain — featuring Fuel Orchestrator, the Sway programming language and the parallel processing–capable FuelVM — offers outstanding tools that, along with the platform's high throughput capacity and modular design, make the job of launching high-performance rollups that much easier. As Fuel progresses in 2025, the project’s team is determined to keep its focus on serving the developer community, and strives to promote collaboration, innovation, education, creativity and efficiency in all matters related to blockchain rollup development.

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Fuel (FUEL): The Modular Ethereum Layer 2 for Developers

Solana's new proposal introduces a lattice-based hashing system to address the "state growth problem," allowing the blockchain to scale to billions of user accounts. 

Daily Top Performer —  Pudgy Penguins (PENGU)

The S&P 500 rose 0.55% on Monday, driven by gains in tech and semiconductor stocks, with Nvidia and Micron leading the way. Coindesk Indices, an index measuring broader cryptocurrency market performance was up by 2.17%, with Bitcoin and Ether rising by 4.08% and 0.61%, respectively in the past 24 hours.

Today's top performer is PENGU, which surged 3.5% following the Pudgy Penguins assets surge ahead of the Abstract Network launch.

Pudgy Penguins (PENGU), launched in 2021, is a popular NFT collection with a market cap of over $1.19 billion as of December 2024. The brand has expanded into physical toys, generating $10 million in sales through partnerships with major retailers. Ahead of the launch of the Abstract Ethereum layer-2 network, Pudgy Penguins assets are increasing in value. The PENGU token has seen significant growth, while Pudgy Penguin NFTs are approaching a higher floor price. The rise is linked to growing PENGU holders and speculation of another airdrop. Companion collections Lil Pudgys and Pudgy Rods have also gained in value. Details about Abstract’s launch are still scarce, but anticipation is building.

Check Out the Latest Prices, Charts, and Data of Perp 

 introduces a lattice-based hashing system to address the "state growth problem," allowing the blockchain to scale to billions of user accounts. This system enables instant verification of accounts without recalculating the entire state, reducing computational overhead while maintaining security. Early tests have shown promising results, and the upgrade will be implemented through Solana’s formal improvement process, with gradual activation through validator voting.

Yesterday, the total flow for BTC Spot ETFs was $769.5 million, with $73.8 million in GBTC and $695.7 million in non-GBTC.

Check Out the Latest Prices, Charts, and Data of 

. To earn tokens, complete simple tasks like joining Discord or following on X. Tokens can be redeemed at TGE. To participate, connect your Solana wallet, complete tasks, and claim daily rewards. Additionally, the SLM Store charges 1 $ASRR token per query. Start now to maximize your rewards!

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Solana's New Hashing Proposal Aims to Scale Blockchain to Billions of Accounts

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Crypto Insights

Global sports events have been known to thrust Web3 into the limelight. Read on as we explore whether the World Cup 2022 hype has indeed provided a boost to Web3’s on-chain activities.

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The 2022 FIFA World Cup in Qatar kicked off last week and is currently all the rage. Global sports events have been known to thrust Web3 into the limelight, with Bybit’s sponsorship of Formula 1’s Red Bull team being an example. FIFA World Cup, as one of the most prestigious sports events, is no exception. 

Web3 players, including exchanges and protocols, have aspired to leverage this year’s World Cup to attract more users to Web3. As such, this article aims to explore areas of Web3 that would benefit from this year’s World Cup and how. In addition, as Web3 is reeling from contagious effects induced by FTX’s implosion, we will dive into whether the FIFA World Cup hype has indeed provided a boost to Web3’s on-chain activities.

Crypto Trading — Crypto Exchanges Kick Off World Cup Branding

The cryptocurrency exchange, Crypto.com, is the 

 of the FIFA World Cup 2022. Crypto.com benefits from the publicity as the mega event’s venue and the broadcast view from the stadium will both be branded with Crypto.com’s graphics. Crypto.com has been famous for its aggressive expansion strategies by sponsoring sports events. Aside from the agreement signed with FIFA World Cup, the cryptocurrency exchange has signed agreements with the 

, not to mention its headline Super Bowl ads that increase its 

. As such, Crypto.com aims to repeat its previous success with expensive FIFA sponsorships.

Source: Coingecko, Google Trend (data as of Nov 22, 2022)

As shown in the first graph, Crypto.com’s major sponsorships in the past year have successfully led to a boost in exchange trading volume. Nonetheless, following insolvency events in May, the trading volume plunged and has since remained flat. As World Cup 2022 kicks off, trading volume seems to recover slightly with the help of FIFA’s publicity, while search volumes have shown an early sign of recovery, suggesting that Crypto.com could possibly have acquired some users from the sponsorship.

While crypto trading does not equal enhanced Web3 adoption, the user on-ramp by centralized exchanges is essential to boost users’ accessibility to Web3, laying the foundation for a thriving Web3 space. Apart from direct sponsorships, other prominent crypto exchanges, such as Bybit launched a series of “

” events to reward users with a 500k USDT prize pool and NFTs up for grabs. If the user search interests can build into the future, World Cup 2022 may help attract new users to crypto exchanges and revive Web3 adoption accordingly. 

Non-Fungible Tokens (NFT) — Use Cases for Adoption

 platform, an NFT marketplace empowered by the Algorand blockchain, where FIFA fans can purchase FIFA Archive Drops, which are video snippets of highlights from previous FIFA World Cups transformed into NFTs. Some of the most expensive NFTs in the marketplace as of the time of writing are Colombian player James Rodrigez’s goal against Uruguay in the 2014 World Cup for $10,000 and French player Kylian Mbappe’s goal against Argentina at the 2018 FIFA World Cup for $4,200. FIFA’s cooperation with Alogrand brought digital assets front and center and bodes well for NFT adoption in global sports events. In addition, FIFA fans can purchase the NFT collections by credit cards or USDC, effectively removing the payment barrier that disconnects real-world users from buying NFTs.

However, the sales of collectibles on FIFA+ Collect have been lukewarm. Looking at the primary sales of card packs, we can see a massive spike in mint volume in late October, 2022. This corresponded to the period when prominent influencers on Twitter started talking about the FIFA+ Collect and its potential to become the next NBA Top Shot. However, the volume has since fallen back to the baseline, with less than 12,000 cards minted daily. 

Source: NFT Explorer (data as of Nov 23, 2022)

Apart from the official FIFA collaboration, another top-ranking football-themed NFT on Algorand is 

, a special set of commemorative NFT spin-offs of Al Goanna, the leading NFT projects on the Algorand blockchain. The collection saw a strong start immediately after its release but has since spiraled down in both volume and average price.

Another football-inspired NFT memorabilia platform is LaLiga Golazos. The platform is the collaboration between 

, the premier soccer league organization in Spain, and Dapper Labs. Laliga Golazos is conceptually similar to FIFA+ Coll

ect as it allows users to purchase NFTs with videos of the most memorable goals from 2005 to present. The platform was launched on Oct 27, 2022 and dropped its first pack on the same day. 

Performance of Flow and Algorand Blockchain

Source: Crypto Slam (data as of Nov 22, 2022)

The above graphs suggest that both blockchains present a general downward trend in sales generated. The FIFA partnership announcement in September may be responsible for the initial spike. However, the momentum soon lost steam as the sales volume retracted to its baseline. As such, the boost from World Cup 2022 on Algorand’s NFT sales was short-lived.

FIFA-related NFTs were introduced in the midst of a prolonged bear cycle, while the World Cup 2022 opening coincided with the unraveling of one of the most influential centralized exchanges, FTX. This was a period when market liquidity evaporated rapidly as the market began to absorb the aftershock of the FTX collapse. With the broader market embroiled in turmoil, it is unlikely for those FIFA-related NFTs to replicate the trajectory of NBA top shots, one of the most successful sports NFT projects atop Flow blockchain. 

The cooperation with FIFA sends a tailwind towards the adoption of Algorand and Flow blockchains, two of the prominent NFT-focused blockchains. However, the short-term boosts have yet to  spur overall NFT sales remarkably on the two blockchains as the cryptoverse is still reeling from rippling effects in the wake of FTX’s collapse

Blockchain Games — Scoring Big with Partnerships and KOLs

Sorare is a fantasy sports game protocol built atop Ethereum Layer 2 with Starkware’s Validium technology. As the transactions are conducted off-chain, no gas fees are paid by users when interacting with the protocol. Sorare is essentially a football card game where users compete with each other to win prizes with rare NFT cards. NFT cards represent famous football players with different characteristics for in-game play.

Sorare owns a first-mover advantage in the football blockchain game, where it has 

 with soccer stars Lionel Messi and Kyle Mbappe to attract football fans to the Web3 space. In addition, Sorare has launched a global cup promotion event to jump on the wagon of the FIFA World Cup 2022, featuring football players from over 300 officially licensed football clubs for users to select from.

Source: Dune Analytics @amiloski (data as of Nov 22, 2022)

However, the FIFA promotion has failed to gain traction. The activities of transfers and minting of NFTs on Sorare, as shown in the above table, have declined since July and remained flat, except for a short-lived increase in early September. 

Source: DappRadar (data as of Nov 22, 2022)

Besides Sorare, other less-known blockchain football games seem to benefit more from the FIFA hype. 

 is one example, which bears a resemblance to Sorare as a fantasy football game with digital NFT cards on Polygon. The on-chain transactions of Ultimate Champions have increased to an average of 10k to 60k on Nov 17, 2022. Despite falling to 10k after a few days, the daily transactions have remained elevated relative to the historical levels. We have noticed similar trends for 

, a metaverse football game built on the Flow Blockchain. 

In conclusion, it seems relatively less known if blockchain football games have taken off from the FIFA Hype, with new users flowing into their ecosystem. FIFA has successfully boosted the usage of football games in game blockchains. In comparison, Ethereum-native Sorare has lost ground in the competition, possibly due to a weaker gamer community on Ethereum or ineffective marketing campaigns.

Fan Tokens — Fans Come Pouring in to Support Their Countries

Fan tokens are fungible cryptocurrencies, owning such tokens would provide one with the ability to vote on team decisions and compete for goods, such as VIP experiences, exclusive merchandise, tickets, etc. Chiliz is the first and the most reputable issuer of fan tokens in the space. 

Chiliz is the team behind Socios.com, the prominent sports fan engagement platform built on the Chiliz blockchain. Socios.com App and Chiliz Exchange are the main products launched by the team. $CHZ is the native currency for the Chiliz ecosystem and is used to facilitate the buying and selling of fan tokens. For example, $PSG represents fan tokens officially issued by Paris Saint-Germain Football Club on Socios.com. Read 

While the fan tokens issued on Chiliz are mainly football club tokens, World Cup 2022 has ushered in country fan tokens, including Argentine Football Association Fan Token (ARG) and Brazil National Football Team Fan Token (BFT). 

Source: Coingecko (data as of Nov 22, 2022)

As of the time of writing, country fan tokens have significantly outperformed football club fan tokens as the FIFA World Cup 2022 is in full swing, with only country fan tokens ending in the green in the past week while football club fan tokens all ended in the red. Major country fan tokens come into existence in Q3 but have managed to notch up top spots in fan token ranking. 

The price movements of country fan tokens are likely linked to the performance of the specific country’s football team performance in World Cup 2022. Fans might be compelled to buy fan tokens to receive fans' rewards if their favorite teams fare well during the 2022 World Cup. For example, as fans get used to the fan token concept, they may continue to stay on Socios.com and switch to their football club fan tokens, later on, suggesting the FIFA hype could possibly act as a gateway and help boost Web3 adoption. 

Country fan tokens such as Brazil National Fan Tokens (BFT) are not listed on Socios.com and are directly traded on centralized exchanges. Despite the backup by respective national team associations, owners of country fan tokens are not entitled to the streamlined fan engagement experience offered by Socios.com. Therefore, it is more likely that country fan tokens that are released only on centralized exchanges are more speculative and may experience volatility once the hype subsides. As a highlight, all fan tokens traded on Bybit are football club fan tokens. Trade and share up to 300,000 USDT in prizes 

Source: Dune Analytics @lcai (data as of Nov 22, 2022)

The above shows that CHZ transactions have rebounded since August and soared as the FIFA hype looms. CHZ transactions indirectly reflect the demand for fan tokens released on Socios.com, as users have to swap CHZ with fan tokens, suggesting that the FIFA World Cup 2022 has indeed boosted the adoption of fan tokens. 

In comparison, blockchain games such as Sorare have failed to catch the hype, while new football games such as The Football Club, although spurred by the FIFA hype, have failed to maintain the hype as fan tokens. As such, fan tokens seem to be embraced more by real-world users and may continue to gain popularity even after World Cup 2022, particularly football club fan tokens.

Web3 X World Cup — Can FIFA World Cup Provide A Much-Needed Boost For Web3 Adoption?

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