Can $SPAIN Cruise Into World Cup Last 16 by Beating Austria?

The Spain Fan Token™ ($SPAIN) is likely to attract high interest from traders today, with La Roja set to face Austria in the last 32 of the World Cup. 

Spain remain laser-focused on dethroning Argentina and adding the World Cup to the European title they captured two years ago. Unbeaten in the competition so far (2W, 1D), La Roja are many people’s favourite to go all the way.

If they do, a great number of $SPAIN tokens will be burned from the treasury. That’s because every World Cup win causes 1% of treasury reserves to be destroyed, reducing the asset’s total supply and limiting sell pressure.

So, how many burns can Spain trigger and will their on-pitch momentum roll into the Fan Token™ charts? Let’s look ahead to tonight’s game against Austria in Los Angeles (kickoff 21:00 CEST).

Spain Favourites to Topple Austria

Spain are clear favourites to win their first knockout game, and not just because they are third in FIFA’s rankings while Austria are 23rd.

Spain’s pedigree, squad depth, and recent form put the European champions among the top contenders to win the tournament, while Austria are simply delighted to have ended a 72-year absence from the knockout stage.

Spain haven’t tasted defeat in 34 matches (discounting penalty shootouts) and are coming off a 1-0 win over Uruguay that preserved their 100% clean sheet record in the tournament. Das Team, meanwhile, dramatically drew 3-3 with Algeria after scoring a 96th minute equaliser.

While Luis de la Fuente’s team have proven extremely resilient defensively, Austria’s porous back line has leaked six goals in three games. Popular wisdom says Spain’s organisation, quality, and firepower will be too much for the Austrians at the SoFi Stadium.

Wins Start the Furnace as $SPAIN Burns

Spain’s victory over Uruguay on June 27 triggered a burn of 1% of treasury $SPAIN holdings, equal to 247,057 tokens. La Roja’s earlier win over Saudi Arabia had also burned 253,594.

With the burn rate escalating the further a team advances, a win over Austria would cause 2% of treasury holdings of the $SPAIN Fan Token™ to be destroyed. A subsequent round-of-16 win would burn 2.5%, a quarterfinal victory would burn 5%, and a semifinal win would burn 7.5%.

Winning the World Cup final, meanwhile, would burn 10% of treasury $SPAIN holdings. All token burns during the tournament can be tracked here.

Priced at $0.650 before the Uruguay win, $SPAIN had risen to $0.833 two days later (+27.3%), although it had dropped to $0.654 by the morning of the Austria game. 

Undoubtedly many traders will be contemplating front-running the locked-in supply shock that will follow an expected victory tonight.

What’s Next?

Spain are in the opposite side of the draw to Argentina, Brazil, and England, meaning their section features the likes of France, Portugal, and Belgium.

If La Roja defeat Austria, they will book a round-of-16 meeting with Portugal ($POR) or Croatia. Win that and they’re likely to face Belgium ($BELG) in the quarters, then France in the semis. Their opponents in the final could be Argentina ($ARG) or Brazil. 

Expect trading activity around $SPAIN to intensify in the coming weeks, particularly if La Roja can maintain their strong form and progress deep into the tournament. Could Spain repeat their heroics of 2010, when they added the World Cup to their European crown?

Ronnie McCluskey: Fan Tokens™ Market Reporter