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FIFA Faces Criminal Investigation in Switzerland Over NFT Platform and Unlicensed Betting

The Swiss Gambling Supervisory Authority (GESPA) has filed a criminal complaint against the Fédération Internationale de Football Association (FIFA) over its NFT-based platform, FIFA Collect. The regulator alleges that FIFA’s blockchain initiative engaged in unauthorized betting and lottery-style activities, potentially violating Swiss gambling laws.

According to GESPA’s official statement, the investigation — launched in early October — found that FIFA Collect hosted digital competitions involving non-fungible tokens (NFTs) where users had to stake funds for a chance to win cash prizes. The results were determined through random draws, which, under Swiss law, classify such activities as lotteries or betting events. Since these require a valid license to operate legally, FIFA’s NFT platform was allegedly functioning without authorization.

GESPA emphasized that under Swiss gaming regulations, it is required to report such violations to law enforcement authorities. The final decision on whether to pursue criminal prosecution now lies with the Swiss Federal Prosecutor’s Office. If the case proceeds, FIFA could face substantial penalties and a potential reputation hit in the fast-evolving world of digital assets and blockchain-based gaming.

FIFA’s NFT initiative, FIFA Collect, was first launched in September 2022 ahead of the Qatar World Cup, aiming to give fans a new way to engage with football culture. The federation partnered with the Algorand blockchain to release a series of digital collectibles that captured iconic football moments, players, and highlights. The concept was pitched as a modern version of sports memorabilia, offering accessibility and interaction “like trading cards and stickers,” according to FIFA’s Director of Business Development, Romy Gai.

Later in December 2022, FIFA expanded its digital collectibles with a limited edition of 100 NFTs built on Polygon’s Layer-2 network, some of which granted winners tickets to the 2026 World Cup final. The organization planned to mint a total of 900 NFTs for sale on OpenSea, one of the largest NFT marketplaces in the world.

However, by April 2025, FIFA revealed plans to launch its own EVM-compatible blockchain, citing the need for greater control and scalability. Just a month later, in May 2025, it announced that the new blockchain infrastructure would be built on Avalanche, replacing both Algorand and Polygon as the core network for FIFA Collect.

The controversy surrounding FIFA’s NFT operations now raises broader questions about the intersection of blockchain, sports, and gambling regulation. As regulators worldwide tighten their oversight of Web3 gaming, even high-profile organizations like FIFA are finding themselves under scrutiny.

Conclusion:
This case highlights the legal gray areas surrounding the use of NFTs for contests and rewards, particularly when financial stakes are involved. For FIFA, which has been positioning itself as an innovator in digital fan engagement, the Swiss investigation could set a precedent for how sports federations navigate blockchain compliance. The outcome will likely influence future AI, blockchain, and NFT integrations across the global sports ecosystem.

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