Trace founder Tareq Nazlawy is looking to change the way in which sports fans are seen – and rewarded.
In an era where most fans never set foot in a stadium, the UK-based startup is tackling one of the biggest challenges in engagement: recognition.
The company is focused on fan engagement in sports, using digital collectibles and data-driven identity to recognise and reward fans.
Instead of just selling merchandise or tickets, it gives fans a way to prove their devotion both online and in real life.
The firm’s products combine generative art, collectible mechanics, blockchain technology and an identity layer so that fans’ engagement can unlock status, access, gameplay and rewards.
This allows sports organisations to turn anonymous audiences into known, monetisable communities and deepen connections with fans who might never attend live events.
“We built the thing we wished existed… every true fan deserves recognition and a proof of that identity they can use online and in real life,” Nazlawy told BusinessCloud.
Building from passion and experience
He continued: “My last company was a web3 studio where a bunch of us were motorsport obsessives.
“Here, we experimented with time-limited digital collectibles that turned live F1 race data into generative, visually arresting art, and released them free to fans.
“The response was amazing! It pointed at a simple truth: we weren’t the only ones who wanted something to show for our ritual commitment to the sport we love.”
This experience unlocked the company’s purpose, giving it a new canvas for sports storytelling.
Solving the fan engagement gap
Nazlawy is of the belief that traditional sports organisations have struggled to connect with the majority of fans.
“Traditionally, sports grew up as a licensing business,” he explained.
“Leagues and teams put their energy into creating the best spectacle on the field and funded it by renting out their cultural symbols.
“That model worked, but the trade-off was limited direct connection with fans. Beyond ticketing, which only ever reaches a tiny fraction of supporters, most fans have remained ‘unknown.’”
Trace aims to flip that model, starting at the source of the problem – identity.
By giving fans meaningful recognition for their devotion, it is looking to help rights holders transform anonymous audiences into known communities.
Nazlawy added: “From recognition comes connection, then attribution, then monetisation.
“In short, we make it possible for sports organisations to truly know and grow their fanbase at scale.”
Reaching Gen Z fans
Half of Gen Z have never attended a live sports event, yet engagement is evolving rapidly.
The founder said: “Play is eating everything. Passive viewing becomes participatory: choices, consequences, multiplayer drama.
“Think the energy of fantasy and betting mechanics, translated responsibly into everyday engagement.
“The Gen Z paradox is real: around 60% say their fandom has actually grown, and they consume nearly four times more content around live moments than millennials — yet about half have never been to a game.
“The passion is still there; what’s changed is how they consume it. Play is becoming the dominant mode. Passive viewing is turning into participation.”
Lessons from adidas and building playable brands
Nazlawy has over a decade of experience at adidas, where he led digital strategy and growth.
“A decade at adidas taught me how to make brands playable,” he said.
“Take adidas Confirmed, the app for premium streetwear and sneakers: we fused loyalty, scarcity, and entertainment so that buying felt like a game.
“That experience shaped a broader belief – that the best experiences always feel like play.
“I also learned something else: when you’re building ‘first-of-its-kind’ ideas, you can’t prove everything at once. Real innovation advances one clean proof at a time.
“At Trace, we apply all three lessons: ship small, entertaining loops with genuine utility; measure what actually shifts identity from unknown to known; and iterate relentlessly toward outsized outcomes.”
How Trace differs from previous approaches
Most NFT products in sports, Nazlawy noted, are licensing-first, with “logos slapped on digital items, designed for quick monetisation.”
Trace, by contrast, is ‘recognition-first’.
Nazlawy explained: “We create living, data-driven collectibles that capture moments and devotion, and then tie them to an identity a fan can carry across the internet and in real life.
“Status, access, gameplay, rewards – so engagement compounds instead of fading.
“Our stack blends generative art, collectible mechanics, and an identity layer that helps rights holders grow known fanbases, while giving brands attribution they can actually trust.
“Even in the earliest version of our product, our pilot with the ATP Tour expanded their database of known fans by 25% in a single tournament. That’s a serious signal.”