Business venture

Bills QB Josh Allen faces backlash over new venture

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Buffalo Bills quarterback Josh Allen.

Buffalo Bills quarterback Josh Allen quickly became one of the most beloved players not only in upstate New York, but in the entire NFL. However, the 26-year-old superstar has faced rare backlash from fans following his latest business venture off the pitch.

Last week, Allen announced his partnership with online betting site DraftKings and sports memorabilia site Metabilia to launch his own collection of NFTs, non-fungible tokens, which are “cryptographic assets on blockchain technology with unique identification codes and metadata that distinguishes them from each”. other”, as defined by Investopdia.com.

“Josh Allen’s Membership NFTs will allow fans to chronicle his career and gain access to exclusive memorabilia,” said a June 8 press release. On June 12, Allen hosted a meeting in Buffalo for his new NFT collection.

Allen owns a stake in Metabilia, a startup led by CEO Joseph De Perio, as reported by Jason Wolf of The Buffalo News. “Essentially what we’re providing is an opportunity for a fan to be on the journey with Josh and enjoy the great things that are happening,” De Perio told Wolf.

However, when Allen announced his partnership with NFT on social media, many fans weren’t thrilled with the news. After posting his “Series 1 Member NFTs” on Instagram, the comments section was flooded with backlash.

“Josh come on 🤦‍♂️.”

“I love you so much Josh, but please say no to NFTs.”

“Josh no!! 😭😭😭 don’t belittle your brand.

When Allen shared the NFT Black Edition image on June 9, the criticism continued. “I love you Josh but damn that’s the dark side of the force,” one person commented, while another fan thought this adventure was so out of place for Allen that he wrote, “Josh blinks eyes twice if you’re in danger.”

Of course, many people were excited to buy Allen’s NFTs. A fan tweeted, “He creates them for his fans. Those who want to capture every great moment of his career. Plus, the benefits are amazing. This weekend, they have a meeting with Josh. Additionally, charity auctions will benefit the Buffalo community. You should check it out!”

Regarding the charitable aspect of Allen’s digital maps, Wolf said, “Metabilia plans to release a new Allen NFT ‘member’ series each year. Proceeds from the 17th NFT in each series will benefit the Patricia Allen Fund at John R. Oishei Children’s Hospital.

Metabilia co-founder De Perio is accused in a lawsuit filed by Cypress Holdings in January of defrauding investors of $1 million from SportBLX, another company he co-founded, which aimed to “ to symbolize ” and to sell shares of professional athletes.

De Perio told The Buffalo News that “he believes the lawsuit against him and the company in federal court in Manhattan has no merit, will be dismissed, and has nothing to do with Metabilia or Allen.”


NFTs can be vulnerable to scams due to their unregulated nature

Due to a lack of regulation, the NFT market is “a place of opportunity for all types of scams,” WeLiveSecurity wrote in May on its website.

In January, a class action lawsuit was filed against EthereumMax and its famous promoters Kim Kardashian, Paul Pierce, and Floyd Mayweather. CNBC reported in January that EthereumMax “has lost approximately 97% of its value since early June, leading some investors to label it a ‘pump and dump’ scheme where scammers attempt to drive up the price of ‘an asset by false or misleading statements’.

Riah Prior of Art Newspaper reported in December that investors in NFT Evolved Apes lost $2.7 million during what is known as a “‘rug draw'” (where the liquidity of a token is deleted by the developer, leaving other investors empty-handed).”


Fans have also commented on the environmental impact of NFTS

The fatigue surrounding NFTs also stems from the environmental footprint of digital currency. A Bills fan tweeted“Stop, you know, damaging the environment and releasing HEAVY carbon dioxide every time a token is traded. I don’t hate Josh for that, I really get it, but do some research before you start to support NFT babies.

NFTs consume so much energy because they are hosted on blockchain technology in which “miners” (users who oversee each transaction) keep financial records safe. In March 2021, Justine Calma of The Verge reported: “As a result,” companies like “Ethereum use about as much electricity as the entire Libyan country.

Achieving this “proof of work” generates a large amount of emissions, even for a single NFT. “That means you can power a home in the United States for 4.7 days with the energy used to make an NFT,” said Dexter Bano Jr., an advocate for environmental protection and technological advancement, in Vice in March of this year.

However, there seems to be change on the horizon. The NBA Top Shot, the league’s official NFT marketplace where fans can purchase NBA highlights as NFTS, uses what’s called “proof of stake,” which creates fewer shows , reported Calma.

Allen is far from the only star athlete to benefit from NFTs. Tom Brady launched Autograph, which recently added tennis phenom Coco Gauff to its client list, which includes San Diego Chargers quarterback Justin Herbert and Phoenix Suns star Devin Booker.

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