Blockchain Fantasy Football League Seeks To Raise $100M USD In ICObr>
Blockchain startup CrownThrown is seeking to raise nearly $100 million dollars in a token sale to create a professional fantasy football league.
Called the Crown League, the project will allow fans to buy a stake using the Crown League token (CRL) in any of its 12 teams and share in any profits they earn during the season. CrownThrown will be launching a pre-sale in a Reg D Simple Agreement for Future Tokens (SAFT) offering to accredited investors and a Reg S SAFT offering to international investors. The token pre-sale aims to raise $30 million over 60–90 days. It will be followed by 12 “micro-ICOs” of $5 million apiece, which will be open to the general public. The public ICO is expected to occur somewhere between the end of 2018 and the first quarter of 2019.
Dan Nissanoff, chief executive of CrownThrown, said the Crown League’s economics will mirror the revenue model of a traditional sports league, but it will be using blockchain technology to allow for decentralized team ownership and transparency.
“The Crown League will fundamentally change the way fans invest their passion as well as their financial resources as owners of this league or the franchises,” said Nissanoff.
According to the announcement, each franchise will be led by a seasoned, high-profile general manager (GM) who together with a dynamic front-office staff, will be responsible for the day-to-day operations of their teams. These teams will be constructed at a live inaugural draft to build legacy franchises – with all subsequent drafts restricted to incoming rookies and free agents. Franchises within the Crown League will be fractionally-owned by large communities of individuals who will collectively govern their teams as well as share in their profits and value appreciation.
“Each year, teams will transfer a portion of their earnings to their owners in a dividend-like distribution, enabling them to receive their share of any profits generated from traditional sports revenue streams including sponsorships, advertising, merchandising, licensing, event ticket sales, and more,” the company said. “The better a franchise performs, the more league tokens it will earn. The more league tokens it earns, the larger the distribution to its owners as they receive a greater share of the league profits.”
The inaugural draft is scheduled next summer followed by the launch of its inaugural season in September 2019. Specific franchise markets, GM appointments and other details are planned to be announced this fall.