What is Sorare?
063 – Sorare is a fantasy sports game launched in 2018 and is managed through blockchain technology, the main purpose is to provide the user with an interactive game with which they can get rewards with which they can get some utility in real life. The basic concept of Sorare is based on soccer fantansy, but taking it to the next level.
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The Sorare app seeks to combine “play to earn” games along with NFTs, as the basic rewards are based on cards that can later be traded on a secondary market; there are a couple of examples that will help to understand how Sorare works.
The famous game saga “FIFA” which is exclusive to the company EA Sports has an internal game mode called “Ultimate Team”, which is nothing more than forming a team from scratch and play to have greater rewards and thus improve your team.
Sorare does not escape from this example, since when logging in the user is given 400 points to form his team of 5 players made up of cards of real-life players, and depending on the performance obtained in the field, the player will get rewards, some of which are virtual cards of the game or NFTs of players, which can later be sold to other users within the platform.
It should be noted that not all cards within the Sorare platform can be traded in the market, only those cards that have a certain degree of “rarity” can be traded, which is subdivided into four categories:
- Limited NFTs are represented by yellow cards and there are only 1,000 copies per player per season.
- Rare NFTs are represented by red cards and there are only 100 copies per player per season.
- Super rare NFTs are represented by blue cards and only 10 copies exist per player per season.
- -NFTs unique card, are represented by black and brown cards and there is only 1 copy per player each season, it is the most valued and sought after card each year among the users.
Revolution in sports NFTs
Sorare’s business model is based on the exclusive ownership of soccer players’ NFTs, which is possible thanks to the various licensing agreements that have been reached in recent years with various soccer leagues and teams. It is noteworthy how these licenses have reached the TOP-5 leagues in Europe (England, Spain, France, Italy and Germany); in addition to leagues such as Major League Soccer in the United States and the prestigious MLB and NBA leagues.
Users can buy and sell these NFTs in the Sorare market, and prices may vary according to the supply and demand in the world, as well as the short-term prospects of the player, for example, injuries, cards, suspensions, among others.
This buying and selling of NFTs within the Solare market generates a greater operability within the Sorare market and leads to the creation of a digital sports economy, which is based on determining the value that users assign to each of the NFTs.
In 2020 it is estimated that within the Sorare platform player cards were sold for USD$52,500 and by 2021 it is estimated that the price of such cards increased to USD$3.6 million, marking an increase of more than 6,700% in one year. This happened mainly due to the increase in the number of users and licenses between 2020 and 2021.
The most valuable cards evidenced on the platform are Cristiano Ronaldo in 2021 for a price of USD$290.00, Kylian Mbappé in 2021 for a price of USD$153,700, Giannis Antetokounmpo in 2023 for a price of USD$118,000 and Joshua Kimmich in 2021 for a price of USD$101,116
A new market niche
Sorare has sought to unify various market niches in order to compress and create a new strategy to attract users around the world, and all this is possible through the implementation of the soccer fantansy and the “play to earn” game philosophy through the NFTs.
Sorare is an example of how blockchain technology and NFTs games can attract a wider audience and thus enable the creation of new markets and business models; as well as being an example of success among companies trading digital assets.
Of course, Sorare is not the only company that has this market niche, as it has competitors such as Fantasy Football, FootballCoin or BlockStars. But one of the advantages that Sorare has is the wide variety of licenses it owns, which allows it to safely and legally trade NFTs of teams and players that are relevant on a daily basis.
Clearly Sorare is geared towards people with a certain level of knowledge about sports, especially soccer, basketball and baseball, so if a person is interested in any of these areas of sports, perhaps they could generate some profit if they play carefully and use their knowledge to obtain greater rewards.