Coin Could Benefit from Sports-Betting Synergies

With Coin (CCC:CRO-USD), the firecracker of a digital asset combines two of my favorite things: cryptocurrencies and Formula 1 racing.

A concept image of the Coin token, CRO.
Source: Stanslavs /

In my view, both sectors have bright futures which will eventually translate — at least I hope so as a stakeholder — in higher CRO prices.

Obviously, last year has been a banner moment for all cryptos. While I’ve admittedly posted some of my concerns regarding the nearer-term trajectory of digital assets, one major factor that could contradict the immediate bearish thesis is awareness.

For the first time, the mainstream investment community has embraced cryptos to an unprecedented degree.

Naturally, they’re not going to want their portfolio to incur heavy red ink so an incentive exists to bolster the digital asset market, boding well for popular iterations like Coin.

As for the Formula 1 racing, I’ve mentioned ad nauseam that the underlying project’s sponsorship deal — worth $100 million and for a five-year term — provides extraordinary exposure to a burgeoning audience.

For instance, F1 racing will take its automotive pageantry to Miami this spring, which should be an extraordinary event. Coin will be featured prominently, boosting the overall profile of CRO.

According to the latest rumor, some insiders suspect that Lewis Hamilton may quit F1 altogether after the season ended in controversial fashion.

To be fair, Hamilton and his team have strong arguments to post about how their would-be championship was robbed from them. Others might point out that stuff happens in racing.

Personally, I don’t think Hamilton will quit because that would be a sore loser move on his part. Still, if he does quit, it would be great for the sport — much more competitive among the new guard of racers.

Intriguing Synergies for Coin

Having said all that, I’m fully aware that generally positive sentiment for digital assets and the global exposure from F1 sponsorship deals won’t always buttress the price of Coin.

With the sector demonstrating tremendous weakness in the past two months or so, CRO needs another catalyst.

I believe it already has one through sports betting.

Now, I’m not talking about a specific platform or rumored partnership. Rather, many ardent sports fans like to put more at stake on the line than their pride.

With the Coin branding becoming increasingly prevalent in the athletic world — the underlying project commands naming rights for the former Staples Center — it may soon attract attention from sports betting fans.

Here’s my thinking: according to research published by the Journal of Behavioral Addictions, some attributes are shared between gamblers and financial speculators. As the research paper states, “At a population level, there is evidence of a consistent association between overall lottery activity and overall involvement in speculative lottery-type stocks.”

At its core, Coin arguably attracts both investors and financial speculators due to several fundamental factors. However, the constant brand marketing could also draw wagering activity from sports fans who may have never considered CRO before.

Currently, several of the mainstream digital assets are nominally priced into the stratosphere. However, CRO is psychologically a steal at less than 50 cents at time of writing. This is where the synergies begin.

A non-crypto-investing sports fan watches some F1 racing or basketball and keeps noticing the Coin brand. A light bulb goes off to check what the per-unit price is and voila! It’s cheap (again, nominally speaking).

Be Careful but Put it on Your Radar

Some other thoughts will probably kick in, such as the potential of Coin to be the next big think in the blockchain universe. And the sports fan may figure, it’s just 50 cents (or whatever the price may be at time of publication).

Now imagine that “why not?” attitude multiplied across thousands upon thousands of sports fans and Coin theoretically starts getting very exciting. Therefore, I’m not worried about incurring losses on my position. Over the next few years, CRO could be very compelling.

Of course, all cryptos are risky and the sector should only represent a small portion of your overall portfolio.

In my opinion, Coin at least belongs on your radar. The underlying organization and management team are making the right moves aggressively.

InvestorPlace does not regularly publish commentary about cryptocurrencies that have a market capitalization less than $100 million or trade with volume less than $100,000 each day. That’s because these “penny cryptos” are frequently the playground for scam artists and market manipulators. When we do publish commentary on a low-volume crypto that may be affected by our commentary, we ask that’s writers disclose this fact and warn readers of the risks.

 Read More: How to Avoid Popular Cryptocurrency Scams

On the date of publication, Josh Enomoto held a LONG position in CRO. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare.

Article printed from InvestorPlace Media,

©2022 InvestorPlace Media, LLC