Chiliz token declines 7% after rallying to 2-month high on new blockchain launch

Chiliz token declines 7% after rallying to 2-month high on new blockchain launch

By Benson Toti - min read
  • Chiliz launched a new layer-1 blockchain that’s EVM-compatible.
  • The price of the native token CHZ rose more than 20% to a two month high above $0.17.
  • Profit taking today has seen it decline over 7% to around $0.15.

Chiliz , the blockchain-based platform for fan tokens and leading Web3 sports infrastructure, marked its 5th anniversary on 8 February with the validation of the genesis block of its new layer-1 blockchain.

Chiliz’s native token CHZ will power the new blockchain ecosystem, including fueling all the decentralised applications (dApps). With CHZ holders able to stake and receive rewards, the overall appeal of buying CHZ and then staking the coin helped push its price higher following the genesis block.

According to data from CoinGecko, the price of CHZ rose to highs above $0.17, ticking up by more than 20% on the day. However, with the broader crypto market slipping on Thursday morning, and likely due to profit taking deals, CHZ/USD has pared its recent gains and currently trades just above $0.15.

The token’s value is down 7.6% in the past 24 hours, though it’s still nearly 10% up this past week and over 33% in the last 30 days.

The Chiliz Blockchain launch

As earlier noted, the launch of the EVM-compatible Chiliz blockchain comes as the network looks to tap into the growing adoption of fan tokens across the world’s sports and entertainment brands.

Over the past year, Chiliz has, through the fan engagement and rewards app, issued fan tokens and sealed collaborations with top sports brands, including soccer giants FC Barcelona, Paris Saint-Germain and Manchester City.

The platform makes it possible for clubs and entertainment brands to leverage the Chiliz blockchain to issue fan tokens, allow for the minting of NFTs, and build DeFi products. Chiliz also helps brands develop and grow via new play-to-earn (P2E) games as they look to further fan engagement.