by Will Paine
Following celebrity news, there is a lot more talk about celebrities with regards to cryptocurrency. A decade ago, most of us hadn’t even heard of cryptocurrency, but now, it’s not unusual to see top stars lending their names to different projects or even launching their own.
And while the crypto space has had its dramatic ups and downs, Hollywood seems to be firmly in love with it. But why? And why can we expect cryptocurrency to remain a mainstay in show business?
● Endorsement Money
At this point, many of us are well aware that a lot of celebrities make a bulk of their income from endorsements. From the alleged death of the movie star to the minuscule amounts paid by streaming services, an endorsement is bringing much more for celebrities than a movie or even a charting album will. And believe it or not, crypto companies are willing to spend quite a bit of money on celebrities.
This all boils down to credibility. Cryptocurrency is a newer technology, and as such, it is trying to gain the trust of the market. And what better way to gain consumer trust than by attaching a face that they know and love? If you’re trying to decide between Binance vs Coinspot, you should not only consider the selection of tokens they have and the fee structure, but also who is endorsing it. In some cases, an endorsement by your favourite pop star, actor, or comedian might just be the difference between choosing one crypto exchange over the other. So, as long as crypto companies have the money to pay for endorsements, celebrities will continue to lend their name and likeness to them.
● No Middlemen
You’ll probably also notice that more celebrities are releasing their own cryptocurrency and blockchain-related projects. This is because they have proven to be quite financially successful, and naturally, celebrities want a piece of the action. It’s similar to the way celebrities, at a certain point, were all dropping fragrance lines or skin care and makeup brands.
But unlike a skincare or makeup brand, a crypto project does not need a horde of investors to drop millions of dollars before it can get off the ground. In fact, technically, anyone can be the owner of such a project as it is becoming increasingly accessible. So, for enterprising celebrities, releasing a crypto project to their loyal fan base is a great way to make bank while not having to split the profits with a corporation.
● Consumer Demand
It’s also worth noting that there is genuine demand for crypto projects from consumers. After all, the crypto sector has been in existence for almost two decades now, which shows that there is a base of people who want to use such products. So, celebrities will create products to meet consumer demands and will continue to cater to them as they evolve. For example, non-fungible tokens, which are based on the same technology as cryptocurrency, were all the rage a few years ago. Now, celebrities are dropping crypto tokens of their own because this is what the market shift demands. Just like we said before, as long as this continues, there will be more celebrities hopping on the space.
● Catering to Fandoms
One of the popular types of cryptocurrencies is fan tokens. These are essentially tokens, created for lovers of a personality, pop culture reference, and much more. It’s popular to see football clubs launch their own fan tokens, for example, which allow for exclusive perks for holders and serve as a way to support the teams. And while football lovers form an especially passionate fan base, celebrity fandom has absolutely exploded in the last decade.
Given that people are joining closed communities, engaging in fan wars, and going to impressive lengths to support their faves, what’s stopping them from buying a cryptocurrency? Fan culture will continue to fuel different means of signalling celebrity support, and this includes cryptocurrencies.
● Innovation
While there is obviously a financial benefit for celebrities, there are certain public figures who simply like supporting innovation and hopping on what might be the future of tech. Think of people like Will.i.am, or even Timbaland, who recently got into some hot water for his AI escapades. The way some see it, cryptocurrency and blockchain-related technologies are simply the next step in technological innovation, and they want to be a part of it. And with their money and access, they can find their way into the space.
Conclusion
Cryptocurrency and celebrity are seemingly a match made in heaven. Both cater to passionate fan bases and have proven to be immensely profitable in the last few decades. We’ve seemingly only scratched the surface of how passionate celebrities can be about cryptocurrency, and this is only going to continue. Whether it’s our faves dropping a new cryptocurrency themselves or becoming the face of an exchange, it seems the best is yet to come.
