Gibraltar is one of the most desirable destination for cryptocurrencies right now alongside countries like Malta. To cement this legacy, Gibraltar United, a tier one football team will start paying players with cryptocurrencies according to a report by Guardian.
According to its Pablo Dana, a sponsorship partnership is being forged, one that will see players especially not native to Gibraltar receive payments much more conveniently.
This is just one of the latest moves involving a football club. Earlier in the year, Arsenal Football Club struck a deal with Cashbet to promote its cryptocurrency.
Several star football players have also been actively promoting cryptocurrencies including Ronaldinho, the Brazilian player who recently announced he is unveiling his own coin. Players like Michael Owen and Lionel Messi have also been involved in cryptocurrencies.
But Gibraltar is particularly significant in the way it has embraced crytocurrencies. The country does not shy away from trying new things. It allowed and regulated online gambling about 20 years ago, an industry that now employs almost 10% of its small population. That it is seeing a similar opportunity with blockchain is not in doubt.
Uncertainty
There is a cloud of uncertainty in much of the rest of the world over the status of cryptocurrencies like bitcoin and leading exchanges like Binance are already flocking to such countries for some protection.
Gibraltar is finalising regulations that will govern ICOs. Regulations governing companies using blockchain were introduced in January. The technology is now being embraced in the financial sector. It follows similar regulations in Malta, another small island country at the forefront of trying new technologies.
Pablo Dana who has invested on Quantocoin told the Guardian that all contracts will now include agreements for payment in cryptos. The owner believes the move will also go a long way in reducing corruption in the game.
For now, Gibraltar will have to worry about cyber security even as it tries to attract blockchain companies. There is a long list of cryptocurrency exchanges that have been hacked this year alone with millions stolen.
Another thing to worry about is the high volatility that characterises the market. The market is now about a third its value in January and raises real questions about their stability especially for players who need the assets for daily use.
Cryptocurrencies are particularly convenient for fan loyalty programs and for low transfer fees.