Football's NFT Royalties Are Broken. Here's How to Fix Them.

Welcome to the future Baby, where the football world’s gone digital and NFTs are the hottest new playthings. Beneath the surface of virtual tickets and player cards, a critical problem is festering: NFT royalties are a mess. They’re arbitrary and quite frankly, screwing over players and creators. It's time we address this.

Royalty System Needs Urgent Overhaul

We're talking about real money here. Now football clubs are dropping NFT collections, pledging 10% to players and musicians. But more fundamentally, how is that cut supposedly being calculated and how is it really being distributed? Too often, it's a black box. And when things are opaque, it’s really easy for someone to get taken advantage of.

A young player, just out of cleats, agrees to a contract for an NFT drop modeled after their likeness. They're promised a percentage of secondary sales. But if the smart contract that manages those royalties is bad, issues can arise. Further, if the platform through which the sales occur is not transparent, the player may lose out on thousands of dollars in potential earnings. We’re not just speaking in terms of pennies, we’re speaking in terms of possibly life-altering amounts – particularly for players whose names don’t ring a bell with the average fan. The current system practically invites exploitation.

It’s almost like we’re back in the Wild West music streaming free-for-all again. In reality, artists are still making just pennies and platforms are still profiting in the millions. We need to learn from those mistakes.

Transparency Is Non-Negotiable

The answer is surprisingly straightforward: transparency. What we want are smart contracts that automatically distribute royalties, so that every transaction is publicly auditable on the blockchain. No more sub fees, no more not quite 0.25% here and there.

Now picture that world, with every NFT sale happening onchain in real-time. Plus, artists can immediately view each corresponding royalty payment land directly in their digital wallets! That’s the power of blockchain, and it’s a power we must live up to.

Secondly, we need industry-wide standards for enforcing NFT royalties. Right now, it’s a hodgepodge, where each platform and each club is operating under its own unique set of guidelines. This results in a murky mess that leaves players and creators alike unable to assert or defend their rights.

It’s like attempting to play a game of football with separate rules enforced on each side of the field. Chaos ensues.

Let's be clear: this isn't just about fairness to players and artists. It’s a question of the NFT ecosystem’s long-term health in the world of football. If stakeholders do not have confidence in the system, they will not engage. And if they choose not to compete, the whole market fails.

Protecting Players and South Asia

This is especially important to the millions of football fans and players in South Asia. This area arguably has the biggest, most passionate fanbase in MLS, and a generation of young players who aspire to be the next big thing. As entrepreneurs, NFTs provide an avenue to achieve financial freedom, independence and self-recognition. If the new royalty system is set up to shortchange them, that dream might soon turn into a nightmare.

We can’t let these players, who frequently lack the resources and legal know-how to navigate complex contracts, be exploited. To start, we want to give them access to education and resources about NFT royalties. Furthermore, we will push for legal structures that uphold their rights.

Imagine it as a typical David and Goliath story. Young hopefuls, who often aren’t given any protection, legal or otherwise, quickly find themselves pitted against massive corporations and their unions. We need to ensure that David touches down with a fighting chance.

This is not only a technological challenge but a moral imperative as well. We can do this by making sure everyone reaps the rewards of football’s digital revolution. It should not only serve the rich and well-connected! We need change and accountability. It’s high time to demand transparency, enforce standards, and protect the rights and interests of players and content creators. The future of football NFTs hinges on that truth.