The London Football Exchange $LFEC
With over 4 billion fans worldwide, football is by far the most popular sport in the world attracting people from all countries. Football is the most-watched and also one of the wealthiest sports in the world, FIFA World Cup alone is watched by almost 3.9 billion people. Football also has some of the most expensive clubs generating billions in revenues in their league games through sponsorships, player trades, and championship prize money. The economic impact of this sport is even more staggering when considering the money flow in global and local advertisements and the money spent on sponsorship budgets.
As with most sports, there is pressure to perform and operate the game consistently which in turn increases the operational costs resulting in higher prices to the services offered. The traditional financing models are not very helpful in raising funds as football clubs don't fit in the parameters of their risk assessments, so the clubs are dependant on revenue from ticketing, merchandising and other ancillary income to run the clubs, all at the expense of the customers, in particular, the most loyal fans. This has led to complete dominance of club ownership by a few wealthy people with the common fan having no ability to acquire a stake in the clubs nor feel part of the football “family”.
This is where LFE Group steps in with the intention of providing the ultimate opportunity for these loyal fans to boost their participation in the global football economy as a potential “fan owner.” The LFEC will be the world’s first fully-integrated football club stock exchange and fan marketplace harnessing the power of the blockchain.
The LFECash token will be the underlying cryptocurrency powering the LFE Group. LFEC tokens will be used for tickets, retail, online and experience purchases, and discounts. The LFEC token holders will have a simple, streamlined point of sale experience, which will be provided at a lower cost through blockchain technology and fewer middle-men.
The LFE (now swapped to LFEC) token sale was held successfully in multiple rounds from Jan 2018 till Aug 2018 raising more than $71 million USD. The token sale was advised by UK's top law firm CMS. The fund allocation is divided as follows, 35% for development, 15% as reserves, 25% for marketing and community development and the remaining 25% for operations and business development.
The total supply of the tokens is 4 billion tokens, of which 60% is allocated towards token sale, 10% is allocated to the core team, the remaining 30% is allocated for partners, marketing, legal services, advisors, ambassadors, development team and charitable foundation. More than half of the tokens are locked up in various vesting periods ranging up to 5 years, due to this there won't be any rampant selling as observed in many other ICOs.
The innovative technology of LFEC will create a tokenized marketplace that will increase transparency in transactions in the fan marketplace such as ticketing, merchandise, hospitality, broadcast, and football retail services creating new value and benefits for fans through the money it is saving. Their new form of financing will support clubs to raise new capital and give fans easy access to their own equity in clubs. It will also enable fans to contribute towards their charitable foundations supporting football development projects worldwide.
The LFEC team consists of nearly 20 members, most of the team is based in London. The core management team has huge experience in handling various financial instruments and managing football clubs & sporting events, they have extensive experience in working with blockchain technology as well. The main advisors include Keith Teare, Executive Chairman at Accelerated Digital Ventures; Sam Jones, a serial technology entrepreneur; Darragh Macanthony, owner of Peterborough United FC and others.
The LFEC team is focused on building the infrastructure and the technological elements required, they are making constant progress since the ICO stage and contributed on each pillar of the LFE Group including sports capital, fan marketplace, token adoption, and ecosystem development. Some of them are:
LFE-TV: The design and development are underway nearing beta version release for testing.
LFE Remit: Currently in talks with multiple suppliers to cater to different ‘avenues’ within the remittance space.
LFE Payment card: Currently in discussion with multiple providers.
Health Monitor: In a very early round of discussions with a tokenised service provider.
Fantasy Football League: Shortlist of current providers identified and looking at all possible ways of incorporation within the ecosystem.
LFE Pay: EPOS service provider currently in talks with providers and making a regulatory investigation for a multi-country rollout.
LFE Exchange: Working with a well-established development company on building the exchange and already in talks to launch the first club on the football club share market.
LFEC is also in discussions with many clubs, including Premier League Clubs and teams throughout Europe, the United States, and Australia.