Virtual currency Bitcoin ventures into the sponsorship of sporting events in aim to extend its reach to new investors amid the sudden drop in its transaction volume.
Posting the lowest transaction volume for a day since 2011 with only 72,101, Bitcoin is expected to bounce back through the Bitcoin community’s efforts to market the digital currency in contact sports like kickboxing and mixed martial arts.
After becoming the feature sponsor at the kickboxing event in Panama held on May 10, Bitcoin is poised to support an Ultimate Fighting Championship (UFC) competitor in his upcoming fight.
Massachusetts-based UFC fighter Joe Lauzon is being considered by the Bitcoin community to represent the virtual currency on the fighting arena, but no official announcements have been made about this effort, especially since a debate within the community has ensued on Reddit.
Enthusiasts view this as an opportunity to promote Bitcoin, and therefore, gain more investors, who are also fans of contact sports. Moreover, traditional sports bettors may be targeted and encouraged to indulge in Bitcoin sports betting. After all, many Bitcoin sportsbooks like Betcoin Sports, which features sports like MMA and boxing among others, are fully operating online.
However, some Bitcoin users have expressed their disapproval of the promotion of the virtual currency through sports that are linked to or endorse violence. Others even suggest that Bitcoin should sponsor other sport events instead and follow the Dogecoin community when it raised funds to sponsor NASCAR racer Josh Wise, which spiked the interest in the altcoin and the Dogecoin gambling market.
Meanwhile, some even question the need to promote Bitcoin as a currency.
Despite the split decision among Bitcoin users on Reddit, Lisa Kramer, who is an associate professor of finance at the University of Toronto’s Rotman School of Management, believes the community is headed toward the right direction.
According to her, the sponsorship of high-profile and popular sporting events is vital in reaching a new audience, which opens the possibilities for Bitcoin to generate new investors.