With good times, good results are often tackled. With hard times, the road can get bumper. Look no further than Crypto Sports Sponsorship as a prime example; After a year of new sports sponsorship entrants through one of the fastest growing divisions in the major league sponsorship deals, the market has dried up with new players this year.
This can unfortunately be timely for sponsorship-seeking teams and leagues. A new report this week found that FTX, often mentioned in sports sponsorship chatter, has moved away from negotiating a possible jersey patch deal with Los Angeles during the current market downturn.
Sports Deal: A look at the current situation
A new section of this week’s NY Post details several key examples, including the steps outlined above from FTX to move away from MLB conversations with Angels. The Post also reported that sources told them that an unnamed crypto company had taken the same path closer to a possible deal with the NBA’s Washington Wizards.
The MLB and the NBA are two of the most active leagues in the United States for engaging with crypto and blockchain firms. Both have official league-wide crypto exchange partners (FTX acts as MLB’s official partner), and MLB’s Washington Nationals has even entered into a premium sponsorship agreement with Terra Luna, which has seen an up-front payment of around M 40M which is now There are question marks all around about how the citizens should move forward.
Crypto.com (CRO) has been one of the most notable names in exchanges shelling out the big bucks for sports sponsorship deals, including the naming rights deal on the Los Angeles venue Crypto.com Arena and the Philadelphia 76ers jersey patch. | Source: CRO-USD on TradingView.com
Related Reading | Why not worry about Vitalik Buterin Ethereum crashing
Is it all doom and gloom?
If we zoom out enough, does the light come on? It was less than a month ago that Robbie Henchman, EVP of the strategic partnership of sports sponsorship firm IMG, said he believed the crypto and blockchain deals in the sport “should be here.” This, of course, has followed a flurry of sports sponsorship deals across the NBA that have grossed to # 2 in total spending year after year since the mid-40s. In fact, sports patches with crypto partners have appeared in recent years, appearing on NBA teams, including the Portland Trail Blazers and the Philadelphia 76ers.
Current contracts with established players are unlikely to decline in the coming months, even if the prices of mainstream cryptocurrencies continue to slide or stabilize. However, expectations of a new deal should change until the market returns to green pastures.
Related Reading | How DeviantArt Protects Web3 Users, Announces the Protect Protocol
Featured image from Pixabay, Charts from TradingView.com The writer of this content is not associated or affiliated with any of the parties mentioned in this article. This is not financial advice.