The Journal of The British Blockchain Association (Nov 2024)
Decentralised Governance in Football: Feasibility of DAO Implementation
Abstract
Football clubs’ increasing commercialisation and privatisation have created a significant gap between clubs and supporters, necessitating innovative solutions to reconnect clubs with their fans. Thus, this article examines the feasibility and implications of implementing Decentralised Autonomous Organisations (DAOs) in the governance of football clubs. Utilising blockchain technology, DAOs offer a novel governance model that enhances transparency, accountability, and fan engagement. Through a qualitative research design, this study explores the potential benefits and challenges of DAO adoption in football clubs. Key findings highlight the potential for increased financial resources through decentralised fundraising, democratised decision-making, and improved operational efficiency via automated smart contracts. However, significant challenges remain, including legal uncertainties, technical vulnerabilities, financial risks, and governance complexities. To address these challenges, we suggest hybrid governance models that integrate traditional structures with DAO elements, phased implementation through pilot projects, and robust stakeholder engagement strategies. The findings provide valuable implications for football clubs and other organisations contemplating the adoption of decentralised governance models.