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Current Condition of Chiliz
Chiliz announced Chiliz Labs at the beginning of March. Later on, a capital of $50 million was allocated for new web3 applications on the Chiliz blockchain. I wanted to comment on the potential of this situation.
For those who want to learn what Chiliz is and what it is not, I recommend reading my previous Chiliz article. Chiliz continued to expand its team last year, becoming one of the rare companies in the crypto community that can grow in a corporate manner with over 300 employees. It’s also important to note the official agreements with sports clubs and the contribution from Binance.
The new blockchain decision made last year was actually a sign of current investments. Functionality was one of the biggest question marks for CHZ. The company was facilitating fan tokens for sports clubs and advertising collaborations, but the CHZ token didn’t have a real function in these transactions. In general, owning CHZ didn’t have much impact on any of the company’s operations.
For example, Binance’s native coin BNB had a function from the very beginning. To get discounts on trades, you had to hold BNB. Binance was the first exchange to implement this model. Today, if they are the biggest exchange, it’s due to their referral system and discount mechanism.
Chiliz Labs
Now, onto Chiliz Labs. For the Chiliz network to be sustainable, the blockchain network must be an actively used network. Stakeholders such as sports clubs can use this blockchain network to run campaigns, create NFT collections, develop play-to-earn games, or provide other innovative services. I think these are all possible, and the $50 million investment is proof of that. Burn mechanism announcements are also likely in the coming days.
When I first invested in Chiliz, it wasn’t in the top 100 coins in the market. Currently, when I check, its price is around $0.1 USD and ranked 72. I think there’s still time for it to drop. Since it’s impossible to invest at the most optimal level, I plan to start buying towards the end of the year.
So far, Chiliz Labs has made deals with three startups: LiveLike, FanFest, and Blockasset. I think the number of these startups will increase over time. As new ideas and projects come in, the Chiliz network will grow, and ultimately, I think we’ll see an increase in the price of CHZ. Chiliz CEO Alex is an expert in being in the right place at the right time. He will announce important news one after another depending on the market conditions. I will be eagerly waiting for them.
I will continue to follow the upcoming news. If I see an advantage and think it can be useful, I will write a new article. There is always the possibility of gaining momentum with new teams to come. What do you think about Chiliz? Please share your thought.
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