CryptoCom Ends Sponsorship Deal With UEFA Champions League
- After signing a major sponsorship deal with the European Champions League (UEFA) earlier this summer, leading crypto exchange platform CryptoCom has decided to back out at the last moment.
- The ongoing cryptocurrency bear market affected the negotiations for CryptoCom to not go as smoothly as planned.
After signing a major sponsorship deal with the European Champions League (UEFA) earlier this summer, leading crypto exchange platform CryptoCom has decided to back out at the last moment.
According to a report by SportsBusiness, the ongoing cryptocurrency bear market affected the negotiations for CryptoCom to not go as smoothly as planned.
Prior to discussions with Crypto.com, UEFA had a sponsorship agreement with the Russian natural gas giant Gazprom, which was terminated in March as a result of Russia’s invasion of Ukraine. Gazprom was supposed to be replaced by Crypto.com.
Although its sponsorship with Crypto.com has ended, UEFA still has a large number of other sponsors. The league, to mention a few, has ongoing agreements with Lay’s, Heineken, Mastercard, Fedex, and Sony PlayStation, according to its website.
According to reports, the canceled five-season agreement would have cost the cryptocurrency exchange $99 million per year or about 100 million euros every season, making the total value of the now-lost agreement a whopping $495 million.
The exchange seems to be severely affected by the ongoing blood bath in the crypto market, which has left several companies in bankrupt conditions. Crypto.com has been plagued by layoffs, with a smaller initial round in June and a larger second round in August.
Massive expansion plans despite difficulties
However, it appears that the exchange is still making investments to widen its market. This month, Crypto.com received approval to do business in the United Kingdom. It also has intentions to expand into South Korea with its recent acquisition of South Korean Payment Provider PnLink and Crypto Exchange OK-BIT.
The marketing team at the cryptocurrency exchange has been very busy since purchasing the naming rights for the Crypto.com arena in Los Angeles for $700 million and its well-known “Fortune Favors the Brave” advertising starring Matt Damon last year.
Crypto.com has continued to engage in sports collaborations, and this year they have agreed to sponsor the FIFA World Cup. The exchange also signed a $100 million partnership with Formula 1 racing and is a sponsor of the NBA team Philadelphia 76ers.
A crypto journalist with over 3 years of experience in DeFi, NFT, metaverse, etc. Parth has worked with major media outlets in the crypto and finance world and has gained experience and expertise in crypto culture after surviving bear and bull markets over the years.
