Here are the sports marketing deals that crash along with FTX | Jobi Cool

In short

  • After FTX went bankrupt, many of the sports teams and leagues it sponsored suspended their contracts.
  • FTX signed a wide variety of sports marketing deals in 2021 and 2022, agreeing to pay at least $375 million to various partners.

Running out of cash, FTX secured high-profile sports marketing deals in 2021 and early 2022, committing at least $375 million in disclosed funds to teams and departments along the way. Now these sponsors are falling apart, one by one, since FTX was filed for bankruptcy last week in a liquidity crisis.

Some of FTX’s major sports and esports partners have already suspended their deals amid the exchange’s highly publicized collapse, while others are reportedly still working out how to extricate themselves from their long-term, often valuable alliances. Here’s a running list of FTX’s sports partners and how they’re navigating the fall of the stock market. Decode will continue to update this list.

Mercedes-AMG Petronas: The Formula 1 (F1) racing team announced on November 11 that it had been done suspended its FTX sponsorship and removed the trade mark from his car. The companies had agreed to a long-term contract through September 2021, but never disclosed terms. FTX and Mercedes previously launched F1-Theme NFTwhich some Collectors are now unable to withdraw from the FTX platform in the middle of bankruptcy.

Miami Heat: Despite still being called the FTX Arena at the moment, the NBA’s Miami Heat tweeted a statement Nov. 11 where he said the team and Miami-Dade County are taking immediate action to end our business relationship with FTX and will be looking for a new naming rights partner. FTX had locked the rights in a massive 19-year, $135 million deal announced in April 2021.

Fury: Brazilian esports team Furia said it will “end” its FTX support on November 11, as reported in statement tweeted by co-owner and poker pro André Akkari. Furia’s one-year contract with the exchange was relatively small, valued at $3.2 million when announced in April 2022. Akkari said the team would always prioritize fans over its brand partners and pulled out of the deal over concerns that FTX would “harm” users.

Golden State Warriors: The NBA’s Warriors made a move on Nov. 14 indicating the team would stop promoting or advertising the exchange, according to a report from ESPN. The multi-year agreement, announced in December 2021was reportedly worth at least $10 million, although official terms were never revealed.

Team SoloMid: Esports club Team SoloMid (TSM) made FTX’s biggest contract published in June 2021 at a whopping $210 million over 10 years. Called TSM FTX, the team announced on November 16 that it had been done suspended his contract with the company and will remove FTX branding from their jerseys, social media and more. The esports industry is rely heavily on grant fundsbut TSM said it expects to remain profitable going forward.

UC Berkeley: University of California Berkeley signed a 10-year naming rights deal with FTX for its stadium in August 2021, with the company agreeing to pay $17.5 million – all in crypto. But on November 17, the school’s athletics department confirmed that CoinDesk that it stopped the contract. The sign had already been wiped off the pitch, which Suggest videos on social media days before.

Major League Baseball: FTX five-year contract putting a logo patch on the league referee’s uniforms remains unchanged at the time of writing, although the league manager has now commented on it. Rob Manfred said November 17 that it was “probably a pretty good bet” that the FTX patch would be removed before the 2023 season. While he would not comment on the terms of the deal, he said it was a “significant deal” for the league.

Riot Games: The studio behind the popular game League of Legends — a favorite of FTX founder and former CEO Sam Bankman-Fried —signed a seven-year contract in August 2021 to have the company sponsor the League of Legends Championship Series (LCS) esports competition. Riot Games has yet to comment on the status of the deal and did not immediately respond Decoderequest for comment.

Washington Wizards/Capitals: In December 2021, FTX revealed broad agreement with Monumental Sports and Entertainment’s Washington teams, including the NBA’s Wizards, the NHL’s Capitals and the WNBA’s Mystics. The alliance was described as a move to bring the exchange closer to the political heart of the United States. However, Monumental has yet to address FTX’s fall and did not immediately respond Decoderequest for comment.

Athletes: FTX also signed a number of top athletes on the roster, including Tom Brady, Steph Curry, Naomi Osakaand Shohei Ohtani. All four of these stars received equity when they agreed to endorse FTX, although it is unclear whether all such athlete contracts were the same. No one has commented on FTX’s demise at the time of writing, although all four have since named in a class action lawsuit for promoting the exchange.

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