This Chiliz review has revealed that Chiliz is also known as CHZ is a digital currency option that is used for blockchain-backed products as well as services that are geared towards mainstream consumers.
Choose your quick section of our Chiliz review below.
A Quick Overview of our Chiliz Review:
Chiliz addresses works to address two issues namely funding and engagement. The platform allows for fans to invest in sports organisations and provides sports companies with access to virtual funds.
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What is Chiliz?
Chiliz is a digital currency option which is used for blockchain-backed products as well as services which are geared towards mainstream consumers. Chiliz offers both sports and entertainment entities with tools to help them engage as well as monetise their audience.
Key Features and Takeaways of Chiliz
Chiliz is a unique and new concept that brings digital currency to the world of electronic sports and entertainment. Chiliz has the following characteristics:
- net is the first tokenized cryptocurrency exchange which allows for users and cryptocurrency enthusiasts to speculate and trade the native Fan Tokens, or Chiliz (CHZ).
- Chiliz offers sports and entertainment entities with the opportunity to use blockchain-based tools to engage and monetise audiences in addition to offering engagement on Socios.com.
- Chiliz addresses works to address two issues namely funding and engagement. The platform allows for fans to invest in sports organisations and provides sports companies with access to virtual funds.
- Chiliz has its own Ethereum blockchain case and this sidechain is the foundation of Socios.com, hosting each team, league, title, and any other organisation connected to the platform.
- Chiliz’s blockchain depends on a Proof-of-Authority (PoA) consensus method to ensure security. Unlike a Proof-of-Work (PoW) and Proof-of-Stake, PoA makes use of the reputability of validators who are well-established to create new blocks.
- com is a scalable and mainstream hub which allows for fans to buy tokenized voting rights in their favourite sports teams.
- com is the first platform of its kind that not only offers the right to vote, but it also grants users with unique rewards, special experiences, exclusive merchandise, and more.
- Fan tokens, CHZ, provides holders with the ballot power to partake in decision-making on the platform, feedback polls, and surveys concerning sports teams and various organisations.
- Supply of CHZ is limited and tokens are also fungible, which means that their ownership can be traded and the price of CHZ is determined by the market and various conditions.
Chiliz Mining
Due to the unique nature of Chiliz and CHZ, tokens cannot be mined as all tokens have already been created even though not all are in circulation yet. The only way to obtain CHZ tokens is to buy them through major cryptocurrency exchanges such as Binance and Gate.io, with the process indicated in detail below.
Whereas other cryptocurrencies that work according to a PoW or PoS consensus method, Chiliz uses a Proof-of-Authority consensus method. Mining can happen on blockchains that make use of PoW consensus methods, as network nodes must solve mathematical problems to validate blocks.
PoA, on the other hand, is less intensive as it makes use of a set of predetermined authorities, for instance, nodes that are explicitly allowed to create new blocks, add them to the chain, and therefore secure it.
PoA-based consensus methods also offer lower transaction acceptance latency in addition to providing improved security. In addition to these factors, PoA also works to address the scalability issues faced by PoW and PoS.
PoA is well-known for being a reputation-based method which was proposed by the co-founder of Ethereum, Gavin Wood, in 2017. Depending on the chosen scheme there is one, or more, validation machines which take responsibility for the generation of transactions that must be added to blockchain.
The new block is accepted without further verification, or by unanimous voting of block generators. It can also be done simply by a majority vote, depending on the configuration that was chosen for the specific blockchain.
Pros and Cons
| ✔️ Pros | ❌ Cons |
|---|---|
| Socio.com is the first platform of its kind, so there is less competition | CHZ cannot be mined and can only be purchased and traded |
| PoA is more secure and versatile than PoW and PoS | CHZ is not accepted by many exchanges yet |
| Chiliz solves the issues faced with scalability | Covid-19 pandemic still poses challenges for sports industry |
| Significant number of partnerships with sports teams, leagues, and organizations | Issues faced with fans failing to adopt cryptocurrency |
| Reliable information as well as transparency | |
| Effective market penetration | |
| Energy efficient through PoA | |
Transaction Fees
| 💰 Type of Fee | ℹ️ Information |
|---|---|
| Buyer Fee | 0% - 0.2% |
| Taker Fee | 0.2% - 0.6% |
Should you buy Chiliz?
There are a lot of benefits involved when considering that Chiliz serves the sports and world alongside the cryptocurrency space. It is opening the cryptocurrency industry and market to billions of fans globally. It also stands as a prominent agent for mass adoption of digital currencies.
With the Socios.com platform, there is a global sports community which is brought together and with cryptocurrency adoption proliferating across all industries, blockchain technology experiences significant expansions.
Where Chiliz is concerned, blockchain offers the avenue necessary for exclusive fan engagement as well as new experiences, making Chiliz worth the investment.
Chiliz has the backing of a great team, partnership with top organisations, teams, and leagues, and potential for a lot of development and expansion.
How to buy Chiliz (CHZ)
Step 1 – Register an account with Gate.io
Navigate to the official Gate.io website and select the option to “Sign Up” from the homepage.
Complete the online registration form by providing country/region, a selected username, email address, and user-selected password. Read and accept the User Agreement and Privacy and select “Next”.
Create a fund password and select “Create Account”. Complete the “I am not a robot” reCAPTCHA. Check your email inbox for the activation email and click on the link in the email. If the link does not work, you can copy and paste the URL into your browser.
Log into your account using your credentials and complete the reCAPTCHA.
Check your email again for the verification email that contains the 6-digit code and click on “Confirm”. Enter the code that you received into the blocks provided and select “Log In” to proceed.
Before you can use the platform to purchase Chiliz/CHZ and other cryptocurrencies on Gate.io, you must complete the “Know Your Client” or KYC procedure to verify your identity and your proof of residence.
Click on “KYC Now” at the bottom of the webpage to start the process.
Select whether you are an individual or an organisation by selecting “Verify Now” under the relevant option.
Select your country from the dropdown list, enter your full name followed by confirmation thereof. Select your ID document type and provide your ID Number as shown on your official ID Document.
Click on the first image to upload a clear photo of the front of your ID document followed by a clear photo of the back of the document.
Next, write your Gate.io unique ID on a piece of paper and take a photo of yourself holding up your identity document (front) and the paper containing your unique ID.
Once you have done this, click on “Confirm and Submit”.
Next, you must enable the Timed One-Time Password (TOTP) to be able to log into your account. This can be done by clicking on “Set Now” at the bottom of the page.
On the new page that loads, select “Click here” to set up Two-factor Authentication.
Download Google Authenticator onto your mobile device by making use of any of the abovementioned methods.
Follow the steps indicated to add your Gate.io account by scanning the QR code or entering your unique key.
Enter the TOTP, your fund password, and the code sent to your email address and select “Enable Two-factor Authentication”. With this setup, you must use the Google Authenticator app to sign into your account every time.
Step 2 – Deposit funds
You must note that Gate.io is only a crypto-to-crypto exchange which means there is no fiat gateway. The only way through which funds can be added, is to transfer an existing crypto into your Gate.io wallet.
CHF can only be bought through Tether/USDT or Bitcoin/BTC while it can be traded with USD as a futures contract.
Navigate to the deposit/withdrawal section by hovering over your account and selecting the relevant option. Choose from the list of coins in which you can make a deposit and select “deposit” next to the appropriate coin.
You will be redirected to a page which generates a deposit address for the coin that you wish to deposit.
Copy this address, or scan the QR code, into the wallet where you are making a withdrawal from and depositing to Gate.io and wait for the relevant blockchain to confirm your transaction. Once the transaction has been completed and verified by the nodes on the chain, the coins will be sent to the Gate.io wallet and you can start trading CHZ.
Step 3 – Explore your trading options
Gate.io offers a variety of ways through which cryptocurrencies can be obtained. Each of these can be explored individually depending on your trading needs and objectives.
To start trading CHZ, select the option from the “Trade” Menu. Enter “CHZ” into the search bar to see which trading options are available.
For spot trading, for instance and as an example, select CHZ_USDT. Once you have selected, you will be directed to the exchange page which corresponds to the cryptocurrency pair CHZ/USDT.
Here, you will see that you have the option to buy or sell CHZ either as a limit order, grid trading, or as a time condition. The most common trading method is that of limit trading and thus it will be used for this guide.
Step 3 – Buy CHZ through via Limit Order
To buy CHZ and create a limit order for it, you can enter the amount of CHZ you want to purchase, and the price you want to buy it at in USDT. This tool will tell you what the overall cost is in USDT, or any other chosen counter-currency, which will be deducted from your wallet once the order has been executed.
Step 4 – Sell CHZ through via Limit Order
To sell CHZ, find the panel under the chart and create a limit order for USDT according to your own preferences. Note that with a peg to USD, CHZ that you exchange for USDT will hold the flat value that it has despite market conditions in the cryptocurrency market.
Step 5 – Withdraw funds
To withdraw funds, you will use the same page in Gate.io which was used to make a deposit.
Click on the deposit/withdrawal option on your Account dropdown and find the wallet of the currency that you wish to withdraw. You can do this easily by using the search bar provided.
Instead of a deposit address being generated, you will do this on the exchange, or the wallet being used as the destination for withdrawal of funds from Gate.io. Paste the address of the receiving wallet in the field provided and provide your Gate.io fund password, email code, and TOTP before selecting “Submit Request”.
Frequently Asked Questions
When was Chiliz first launched?
Chiliz was launched early in 2018.
Who founded Chiliz?
Chiliz was founded by Alexandre Dreyfus, founder of the interactive tourism guide platform called Webcity and the co-founder of Winamax, the largest online poker site based in France.
What is “ICO”?
It is Initial Coin Offering that, unlike an IPO, does not mean that those who invest in the cryptocurrency will have an ownership stake of the company that they provide funds to.
When was Chiliz’s ICO and how much did it raise?
Chiliz did not hold an ICO, and all funds were raised through a private placement during 2018.
Is Chiliz legit?
Yes, Chiliz is legit.
What is Chiliz’s total supply?
There is a total of 8.8 billion CHZ. At the time of writing, the circulating supply of CHZ is 5.5 billion.
What is the purpose of Chiliz?
Chiliz allows sports fans and cryptocurrency enthusiasts to buy, sell, exchange, and trade Fan Tokens (CHZ) from reputable, popular names in the sporting world.
On which blockchain is Chiliz based?
Chiliz is based on its own blockchain.
Does Chiliz work with smart contracts?
Yes. Chiliz manages voting by using smart contracts. Votes cover some decision in teams and plays a part in merchandise design, naming training grounds, and others.
Does Chiliz have potential to become more valuable?
Yes, as the first of its kind, Chiliz has the potential to become more valuable in time.
