The Sorare game platform has been very successful. Recently we also learned that the firm was duplicating the principle of its game of Fantasy Football in basketball and NBA ! The success of the French company has not gone unnoticed and has particularly caught the eye of regulators.
What is the NFT Sorare blockchain game?
Before tackling the regulatory aspect, let’s talk a little about the Sorare blockchain game which has won over thousands of users worldwide! The Sorare game uses NFTs and a blockchain, in this case Ethereum. NFTs in the game are actually digital football player cards. These cards represent football players who play in the main European championships. They are bought in Ethereum cryptocurrency.
Sorare users should compose their football team by buying 5 cards (or NFT). The cards chosen depend on their budget, the type of player sought but also the cards available on the market. There are different types of card that give access to different types of tournaments. Unsurprisingly, the rarer a card is, the more expensive it is.
Once the team is assembled, the teams compete in virtual championships. At the end of the competition, depending on the team’s ranking, the player can earn rewards. These are paid in crypto, more particularly in Ethereum. The outcome of the meetings depends on individual performances of each player in their respective (real) league.
In addition, NFT cards increase in value according to the evolution of the player in his (real) championship. The Sorare game therefore incorporates data from real championships ! In other words, with his game, Sorare has achieved the feat of bringing together investors, football fans, fans of Panini cards and finally video game enthusiasts! Just that ! We understand better why the game is so popular!
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Sorare: Crypto platform or sports betting?
Sorare has been under the eye of regulators for a few days. Why ? The reason is simple! In fact, regulatory bodies are wondering whether Sorare should not follow the same regulations as sports betting platforms. More specifically, this question was raised by a senator, Christine Lavarde. In addition to being a senator, Christine Lavarde is also vice-president of the Finance Commission.
“The criteria for sports betting as defined by article L.320-1 of the internal security code seem nevertheless to be well met: “Are deemed to be gambling and games of chance and prohibited as such are all operations offered to the public, under any denomination whatsoever, to give rise to the hope of a gain which would be due, even partially, to chance and for which a financial sacrifice is required on the part of the participants. » Christine Lavarde, Senator and Vice-President of the Finance Committee
For its part, Sorare denies being a sports betting platform. Indeed, as explained above, at no time does the game introduce a notion of “put”. Concretely, on Sorare, the players do not bet on the outcome of a football match. The only monetary action is buying cards (or NFTs).
But then, what regulations for Sorare? This is where the issue gets complicated. Indeed, at present, the blockchain game Sorare enjoysa vacuum in the regulations. As explained above, despite the senator’s claim, it would be really surprising if Sorare were considered a sports betting platform. On the other hand, the fantasy football game is also currently exempt from cryptocurrency regulations. The success of the French unicorn could therefore push the authorities to create a specific framework for NFT games like Sorare.