Company looking to create a framework in the NFT category

Learfield, the collegiate media and technology services leader, is entering into a partnership with technology company Recur to lay an industry-wide foundation for stakeholders as they look to tap into opportunities within the fast-emerging NFT sector.

The partnership intends to unlock opportunities for student-athletes hoping to monetize their brands through the NFT marketplace, as well as for universities and fans. The multi-year agreement with Recur aims to fuel the creation and adoption of collegiate digital products and collectibles through Recur’s NFT (non-fungible token) platform, NFTU.com, which goes live March 14. 

After Learfield conducted a nine-month study of the sector, CEO Cole Gahagan believes it is the responsibility of his company — the college athletics leader in media, sponsorships, fan data, event ticketing, technology and licensing — to create a framework for schools, fans and athletes in the NFT category. And Gahagan believes the result will usher in nothing short of the future of fandom.

“In the years ahead, there are going to be so many wonderful opportunities, from the best game calls in college athletics to the best moments in college athletics to fan participation and user-generated content that contributes to NFTs,” Gahagan told On3. “You’re going to have this ecosystem that is filled with all kinds of exciting, high-value moments and creative products that help to make this business of ours thrive even more. I do think it’s transformational in a big way.”

To date, the NFT marketplace is fragmented, with an increasing number of relevant entities in all corners, and rapidly gaining more mainstream popularity. Deloitte Global projects that NFTs for sports media will generate more than $2 billion in transactions this year, roughly double the figure from last year. By the end of the year, four to five million fans globally will have owned an NFT sports collectible.

This move represents a significant step by Learfield, which represents nearly 200 schools, into the NFT space, especially from an investment perspective. There’s a significant amount of technological heavy-lifting that the company now has in place, Gahagan said, as well as investment that it is putting in place to create a more seamless opportunity for universities and for fans. 

In the future, imagine being able to use your mobile game ticket to also convert it to commemorative NFTs. Commemorative NFT tickets and packages will be delivered through Paciolan, a Learfield company with expertise in ticketing, marketing and fundraising solutions.

Ways to ‘enhance’ a NFT

There also will be a bevy of additional opportunities down the line. For instance, a fan could convert a ticket to an NFT, then add to that, taking a creative approach that includes incorporating their own photo from the game to commemorate the experience. 

“There are going to be a number of ways that you can enhance the value of that commemorative token, beyond just converting it to an NFT,” Gahagan said. “And that very well may include, over time, other more tangible goods that go alongside that NFT, not just imagery from the experience at the game but also perhaps to include products, to include memorabilia, to include gear.” 

There also will be the integration of NFTU.com into official athletic websites and apps built by Sidearm Sports, a leading digital platform that serves athletic programs with customized web, social media and mobile content services. 

The partnership also will deliver licensing administration and management through CLC; NFT category-specific college sports marketing sponsorships with Learfield partner schools; and product development, asset creation and brand-sponsorable NFT offerings from Learfield.

In addition, Recur will leverage CLC’s Compass NIL deal management and disclosure platform to manage individual student-athlete opt-in for its NFT opportunities that include NIL. With this partnership, Learfield’s job is to create the foundation on which NFTs can be built. In this new NIL era, Gahagan envisions student-athletes with full empowerment and independence to create NFTs in partnership with NFT companies that have licensing rights at schools.

“Then hopefully create an ecosystem where you have student-athletes who are building NFTs and, if the schools permit, utilizing IP (intellectual property) when that happens,” Gahagan said. “If the school permits, student-athletes utilize intellectual property as part of that NFT license that Recur, or other companies, may have that put student-athletes in a position to now go and create a NFT partnership with the schools. In other cases, it might just be the student-athletes creating the NFT with no intellectual property being used.”

Learfield is positioned to help the industry determine the right way forward in the NFT space, assuming a large role in helping college sports usher in this new era.

“We have a responsibility to help build that framework; we have a responsibility to help build that foundation. That then puts us in a position to help our university partners and student-athletes create opportunities for fans,” Gahagan said. “It’s really a cross-enterprise responsibility for us that spans most of our operating businesses from Paciolan, Sidearm Sports, CLC and our multimedia rights business. That’s the responsibility we have, and we don’t take it lightly.”