Ex-Cisco employee launches DAO to buy Denver Broncos

A new decentralized autonomous organization (DAO) has been launched to raise funds to acquire the NFL's Denver Broncos for an estimated $4 billion.

The BuyTheBroncos DAO aims to give fans the opportunity to own a piece of the team, regardless of their wealth level. One of the organizers of the DAO, former Cisco employee Sean O'Brien, told CNBC on February 19:

"The intent is essentially to create an infrastructure where fans from all walks of life can become owners of the Denver Broncos."

If successful, it would join the Green Bay Packers as one of the fan-owned NFL teams. Fans who want to own shares of the Broncos through the DAO are free to contribute instead of the Packers’ $300 per share.

DAO members who contribute to the ethereum (ETH) buying team will receive an NFT, which BuyTheBroncos.com says "will act as your 'membership card,' giving you access to the collaboration."

BuyTheBroncos currently counts some professionals among its 630 Twitter followers, including lawyers, accountants, software developers, professional athletes and mathematicians.

The team's trustees have expressed the urgency to transfer ownership to a new party before the start of the 2022 season, but there will be no discount for the buyer. ESPN expects the team to sell for $4 billion, making it the highest price in the history of a North American sports team.

It is unclear whether NFL Commissioner Roger Goodell would allow the DAO to own and operate a team.

DAOs give relatively small investors the opportunity to pool their funds together and make large investments as a single entity. The Constitution DAO tried this strategy when it tried to buy the first printed copy of the U.S. Constitution. It raised $47 million from 17,437 contributors, but was unsuccessful in the auction.

DAOs have also recently been used to help crowdfunding campaigns, such as the recent Freedom Convoy campaign in Canada.