The blockchain industry is a growing ecosystem that touches a wide variety of business and entertainment areas. As a result, many projects compete with each other for uniqueness, offering the cryptocurrency community new technologies and new global ideas for their use. And one such project is Chiliz, which will be discussed in this article. 

What is Chiliz (CHZ)? 

Chiliz is a digital currency that powers sports and entertainment platforms and is also the official, exclusive cryptocurrency that functions on the fan voting portal. The platform allows sports and cybersport fans to manage their favourite teams, games, leagues and events. 

Chiliz is a digital currency for the tokenisation of sports and entertainment. It is a blockchain technology that enables the creation of products for everyday consumers. Chiliz created the platform to allow fans to engage more actively with their favourite teams. 

The utility of the Chiliz coin is to give fans a voice and the ability to participate in decision-making for organisations that join the platform.

Chiliz is a digital currency that provides sports and entertainment platforms
Chiliz is a digital currency that provides sports and entertainment platforms

If you want to buy CHZ, it is worth clarifying what fan tokens are. 

Fan tokens are cryptographic service tokens that contain the branding of partner sports teams. With the tokens, fans get to vote and participate in decisions regarding their favourite teams. Fan tokens can be purchased with Chiliz tokens.

If we talk about the benefits for the sports teams, they get additional income through tokenisation.

The first two teams to tokenize on the platform were football clubs Paris Saint-Germain and Juventus. West Ham United, Associazione Sportiva Roma, Club Atl├ętico de Madrid and the cybersport team OG joined them. Ownership of the clubs' unique branded fan tokens also gives fans access to exclusive content, gamification and social media channels.

Fan tokens can be purchased with Chiliz tokens
Fan tokens can be purchased with Chiliz tokens

Features of the Chiliz cryptocurrency (CHZ)

Chiliz also covers virtual sports. For example, the platform has become the backbone of the Global Players League (GPL). 

GPL is a fan-driven, globally scalable eSports league for today's gaming and eSports communities, powered by the Chiliz token (CHZ). 

The voting rights acquired for the tokens are exercised through smart contracts, allowing direct interaction between GPL teams and their fans. The project has attracted significant cryptocurrency exchanges and leading crypto funds in Asia, including Binance, OK Blockchain Capital and Ceyuan Ventures. 

In addition to this, Chiliz has other merits:

  • Credibility and financial transparency: the project is backed by an existing reputable company, which operates through the EU banking system under complete regulatory oversight. Accordingly, all company accounts are audited and publicly available. Such transparency and trust are crucial in the unregulated ICO market. 
  • Market penetration: The project's most significant advantage is its fruitful collaboration. As mentioned above, ChiliZ has already established several strategic alliances in a wide range of disciplines and different regions. In addition, the project is supported by the Maltese government, Playtech (the world's largest supplier of iGaming), cybersport celebrities, leading institutes of cybersport and digital marketing in South East Asia. This collaboration dramatically increases the project's potential to penetrate the global cybersport market rapidly. 
  • Chiliz's private network is governed by the Proof-of-Authority consensus mechanism, which is computationally less intensive than Proof-of-Work, which requires resource-intensive computation. POA consensus also provides lower transaction acceptance latency.
Features of the Chiliz cryptocurrency (CHZ)
Features of the Chiliz cryptocurrency (CHZ)

How to start investing in Chiliz (CHZ) in New Zealand?

If you want to invest in Chiliz in New Zealand, there are several ways to trade cryptocurrency:

  • Actual purchase;
  • Investment funds;
  • Crypto-index funds;
  • CFD trading.

As with all forms of trading, trading cryptocurrencies requires knowledge of the market and the use of proven trading strategies. In addition, a comprehensive understanding of the market allows you to assess the potential risks better.

  • Actual purchase.

You can buy a digital currency by paying for it with fiat currency such as the US dollar (USD), British pound (GBP) or Australian dollar (AUD). However, some cryptocurrencies are only available in limited quantities, including Bitcoin, limited to 21 million coins. Nevertheless, over 18 million are already in circulation, and many forex brokers already accept bitcoins for trading the currency.

You can buy Chiliz on a cryptocurrency exchange like Binance, which trades both this particular currency and many other cryptocurrencies. 

  • Investment funds.

Another way to invest in cryptocurrencies is to invest in crypto funds such as the Bitcoin Cash Investment Trust or the Ethereum Investment Trust. These funds invest in initial coin offerings (ICOs) and other cryptocurrencies. They are recognised as some of the most aggressive and most active. However, the use of professional fund managers implies higher costs and commissions.

  • Crypto-index funds.

The popularity of digital currencies has led to the emergence of crypto-index funds. They are somewhat similar to index funds in the traditional financial market, except they focus on digital assets rather than financial products such as stocks and bonds. Selected cryptocurrencies are grouped and weighted against market capital. The Crypto-10 is recognised as a benchmark crypto-index and is commonly used to measure the volatility and outlook for virtual currencies in general.

  • CFD.

The easiest way to trade cryptocurrencies is to trade via a broker. Instead of opening a digital wallet to store real coins and trading on a cryptocurrency exchange, you can trade CFDs from your trading account by working with a reputable and respected broker that offers cryptocurrency trading. In addition, CFD trading allows traders to open both long and short positions, as it enables traders to speculate on future movements in the price of a cryptocurrency.

Invest in Chiliz in New Zealand
Invest in Chiliz in New Zealand

How to Buy Chiliz (CHZ)?

If you want to buy Chiliz in New Zealand, CFDs are the most convenient options for making money from cryptocurrency.

What are cryptocurrency CFDs?

CFD or Contracts for Difference is an attractive way to trade any asset class, as it does not involve the actual purchase of the underlying asset in question. It allows you to speculate on the future value of the underlying asset without actually owning it. 

Cryptocurrency CFDs allow traders to predict future price movements of a particular cryptocurrency. Traders can trade cryptocurrency CFDs against a fiat currency, such as the US dollar and Australian dollar, or against another cryptocurrency, such as the Bitcoin/Efirium pair.

Some standard terms used in cryptocurrency CFD trading:

  • Ask price: This is the price at which a CFD can be bought.
  • Bid price: This is the price at which a CFD can be sold.
  • Spread: This is the difference between the ASK price and the BID price for the underlying CFD asset. The spread is the transaction cost for the trader, which is deducted from the total profit made or added to the complete loss incurred. 

Consequently, the lower the spread, the lower the transaction cost for the trader.

  • Margin: This is the amount of money that must be deposited in order to open a CFD position.
  • Leverage: Leverage allows traders to trade CFDs on cryptocurrencies with a total value well above the available balance in their trading account. This tool will enable traders to take a higher level of risk by investing only a small percentage of the total value of the trade. While leverage enables traders to make large profits if the price moves in their favour, it can also expose them to significant losses in the event of an adverse price movement.
  • Long position: When a trader opens a buy CFD position in anticipation of an increase in the underlying asset price, this is called a long position.
  • Short position: When a trader opens a sell position on a CFD, expecting the underlying asset's price to fall, this is called a short position.
  • Stop Loss: This order allows traders to pre-set a specific price level at which their CFD position will be closed. This helps to reduce losses if the market moves against the predicted direction.
  • Take Profit: This order allows traders to pre-set a specific price level at which their CFD position will be closed, to lock in and take profits before the market turns around and goes against the predicted level.

Those who trade CFDs trade the difference between the asset's current value at the time of contracting (opening a position) and its value at the end of the contract (closing a position). 

For example, if a trader opens a long position and the value of the corresponding cryptocurrency increases, he will make a profit. On the other hand, if the price decreases, the trader will incur a loss. Similarly, if a trader believes that the value of a cryptocurrency such as Chiliz will decrease in the future, the trader can open a short position. If the prediction is correct, the position will be profitable. If not, a rise in cryptocurrency will result in a loss.

Use CFD trading on online trading platforms to make money even on falling cryptocurrency prices
Use CFD trading on online trading platforms to make money even on falling cryptocurrency prices

Prospects for cryptocurrency Chiliz (CHZ) 

The platform allows football teams to create a whole new economy that can be monetised while at the same time creating a unique ecosystem of fan interaction - and it's hard to disagree.

Using the rhetoric of 'Fan Token Offer' as opposed to traditional ICO terminology is an original approach. Some clubs' fan bases are more significant than the population of smaller countries, and global communities span all international borders. Therefore, in a sense, fan bases are ideal ecosystems for the incubation of new methods of value measurement and exchange.  

Reaching out to fans will prove to be a successful sales pitch. Such arrangements can bring significant benefits to both parties. For cryptocurrency, football clubs offer a base through which they can reach millions of target customers who could not otherwise be attracted. From this perspective, and given the support of the companies listed above, we can predict a notable success for the Chiliz token.

Fanbases are ideal ecosystems for incubating new methods of measuring value and sharing
Fanbases are ideal ecosystems for incubating new methods of measuring value and sharing

How to Buy Chiliz right now? 

When deciding to buy Chiliz, the steps you need to take to trade digital currencies are listed:

  • Find a good broker and register on the platform.

This is the most crucial step on the path to trading cryptocurrency CFDs. First, you should choose a well-established and regulated broker who can ensure the safety of your funds. 

Register on the platform
Register on the platform
  • Open an account.

Once you have decided on a broker to trade with, you need to open a trading account. Most brokers will first allow you to open a demo account to get used to the platform, the tools, and the pace of trading. You can then open a real account and deposit real funds into it.

Open an account
Open an account
  • Make a trading plan.

Now that you have chosen your trading tools, you need to do a little analysis and finalise your trading plan. Since the cryptocurrency market is very volatile, you need to develop a trading plan with all the risks involved in mind. So, make a list of your goals, determine the risk levels that are appropriate for you, and then outline a trading strategy with well-designed stop-loss and take-profit levels in mind. 

  • Start trading.

Good knowledge of cryptocurrency principles, the factors affecting them, and a good trading strategy with adequate risk management measures can help traders embark on a practical and enjoyable journey into the world of cryptocurrency trading.

Fund your account and start trading
Fund your account and start trading

The human condition is such that he only learns from real experience - when he can get a 'taste' of real money, victory and defeat. Only then he can remember and will appreciate the experience.

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