Here’s why Chiliz and Algorand take a hard dive after the start of the World Cup in Qatar

Today, Chiliz (CHZ) and Algorand (ALGO) fell 15% and 10%, respectively. While the market remains down, both crypto assets have posted larger losses than the majority of the top 100 crypto-currencies in terms of market capitalization.

The decline comes as investors take profits from the earlier rise caused by the excitement surrounding the FIFA World Cup.

Not surprisingly, on November 20, the day the FIFA World Cup Qatar 2022 began, both tokens experienced price declines, which were exacerbated by the current market sell-off.

In May, FIFA, the governing body of world soccer, chose Algorand as its official blockchain partner. Under the partnership, Algorand will be a “regional supporter” for North America and Europe during the World Cup and an official sponsor of the Women’s World Cup in Australia and New Zealand in 2023. Among other things, Algorand will provide the official FIFA blockchain-based wallet.

Chiliz has also benefited from the FIFA craze, as participating teams, such as the Italian national team, the Portuguese national team and the Argentine national team, each have their fan tokens launched on the platform.

Cryptocurrency market crashes

The crypto-currency market has remained under pressure over the past two weeks as the FTX exchange saga unfolded. Since November 6, when Binance CEO Changpeng Zhao said his exchange would liquidate its FTX tokens, the crypto-currency market has lost more than $260 billion in value.

FTX’s new CEO John Ray said over the weekend that the exchange is looking to sell or restructure its empire. FTX reportedly owes some $3 billion to its major creditors.

Crypto markets remain on edge as it remains unclear how the FTX saga might end and whether there will be further collapses resulting from its contagion.