The Gibraltar-based football team, Premier Division Gibraltar United, is in news these days. This team will become the world’s first football team to introduce cryptocurrency. The Gibraltar football team has decided to pay its players in cryptocurrency, and this decision comes at a time when football is delving into an innovative mode in the financial sector.
While Gibraltar United’s owner, Pablo Dana, is an investor in the cryptocurrency Quantocoin, the club has started a sponsorship partnership. Dana mentioned that all player contracts will have payment agreements in cryptos by the next season.
Some people may view this initiative as a random entry point for cryptocurrency in football. However, by taking a closer look though, it seems to make perfect sense as Gibraltar’s finance sector is leading the charge in Fintech and Blockchain technologies.
Gibraltar introduced regulations for businesses using the blockchain technology in January this year. The government is also all set to launch the world’s first legal framework for ICOs. However, as it is said, with great rises also comes great falls! Due to the government bodies’ reluctance to legitimize the crypto industry, cryptocurrencies have witnessed stark drops in its value in 2018. Also, Twitter and Facebook banned forms of cryptocurrency advertising.
As reported in The Guardian, by regulating the cryptocurrency industry, Gibraltar is trying to bring legitimacy and transparency to crypto trading. Dana also mentioned that a similar preoccupation with transparency prompted this initiative of introducing cryptocurrency to Gibraltar United. He further added that blockchain’s open-access nature may reduce corruption scandals that have otherwise plagued football. This step has given his Gibraltar United club a solution to pay foreign players who are not able to easily set up bank accounts in Gibraltar.
According to Dana, Gibraltar offers the perfect setting. It was, in fact, the first place to regulate betting companies 20 years ago when people used to consider them as horrible. He said that Gibraltar’s anti-money laundering regulations and compliance have helped to create a platform for cryptocurrencies.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]