Crypto Sponsorship Surpasses $1.5 Billion Since 2021
- Largest sponsorship deal signed between Crypto.com and AEG for $700 million
- Over $1.5 billion have been invested in crypto sponsorship deals in the past 18 months
- Sport partnerships increase public awareness and further legitimise cryptocurrencies
The past two years have been monumental for the crypto industry with Bitcoin hitting a new all-time high and the total market capitalization of crypto surpassing $3 trillion for the first time.
Indeed, crypto has undeniably entered the mainstream as memes such as Dogecoin have featured alongside Elon Musk on prime time television.
The industry’s leaders are now setting their sights on sponsorship deals that will further extend this momentum and cement crypto’s place firmly in the global economy.
By penning high-level partnerships, crypto firms are establishing their own brands, further increasing public awareness and legitimizing crypto as a whole.
More than $1 billion has been invested in crypto sponsorship deals over the past few years and in this article, we have outlined the biggest ones so far.
Read on to find out more.
Crypto.com Becomes Official Sponsor of 2022 FIFA World Cup
Crypto exchange Crypto.com has become the exclusive cryptocurrency trading platform sponsor of the Qatar 2022 World Cup for an undisclosed sum.
The firm’s branding will appear all over the stadiums where matches will be played and watched by hundreds of millions of people around the world.
As part of the deal, the exchange will provide users with the opportunity to win tickets to watch the games and official merchandise.
Staples Center Renamed to Crypto.com Arena
In November last year, Crypto.com purchased the naming rights to Staples Center, the multi-purpose arena which has been home to some of the biggest public events including basketball games, boxing matches, concerts, and more.
The naming rights were purchased from AEG for $700 million in an agreement that will last 20 years.
Not only is this the biggest sponsorship deal in crypto, it also is one of the largest sponsorship deals in sports history.
UFC Strikes Kit Sponsorship Deal with Crypto.com
Ultimate Fighting Championship (UFC) signed a $175 million partnership deal with Crypto.com in July last year, entitling the crypto firm to place their branding on UFC fight kits.
UFC produces around 40 live events per year which are watched by hundreds of millions of people around the world.
As part of the deal, Crypto.com launched an exclusive series of UFC-themed non-fungible tokens (NFTs) on their platform which featured fight night artwork, event posters, championship belts and more.
Crypto.com Signs Naming Rights Deal With F1 Miami Grand Prix
Formula 1 signed a $100 million sponsorship deal with Crypto.com in June last year which gave the crypto firm trackside presence at every race in the 2021 season.
As part of the 5-year deal, the company introduced a new award which will be given to the driver who makes the most overtakes.
The deal also allows Crypto.com to launch exclusive F1 NFTs which users can buy directly from the platform.
Crypto.com is not the only crypto firm signing sponsorship deals with the sports industry.
Many others are also jumping on the bandwagon. These are the most significant deals:
Red Bull Racing Signs Partnership Deal With Bybit
Earlier this year, Red Bull Racing signed a multi-year wide-ranging deal worth $150 million with Bybit cryptocurrency exchange.
The deal enables the crypto firm to have prime branding on the front wing of Red Bull’s racing cars, as well as allowing Bybit to become the principal distributor of Red Bull racing fan tokens.
These will enable fans to vote on decisions related to the team, bringing a more immersive user experience to fans around the world.
TSM Esports Team Forms a Partnership with FTX
FTX cryptocurrency exchange signed a $210 million partnership deal with TSM last year which is one of the biggest esports organizations in the world.
The deal will last 10-years, worth $21 million per year, and remains one of the biggest esports sponsorships to date.
The team has now changed its name to TSM FTX and will reportedly use the funds to attract players with higher salaries and open offices in China, Europe, and South America
Additionally, each of the players received cryptocurrencies from FTX.
FTX Strikes Sponsorship Deal with Major League Baseball
FTX last year became the first cryptocurrency exchange to partner with a North American pro sports league after signing a long-term partnership with Major League Baseball (MLB)
Under the deal, FTX branding will be displayed on all umpire uniforms and the crypto firm has gained worldwide marketing rights associated with the MLB.
While the financial terms of the sponsorship remain unknown, the deal warrants a mention due to the significance of the sport.
FTX Secures Naming Rights to Miami Heat
FTX cryptocurrency exchange inked a sponsorship deal with Miami Heat last year worth $135 million.
As part of the 19-year deal, FTX was given naming rights to the stadium, which has now been renamed to FTX Arena.
Additionally, the crypto firm will have prominent branding inside the stadium and will work with the marketing team to post relevant branded content.
Drone Racing League Signs Deal with Algorand
Algorand is a leading cryptocurrency platform that signed a $100 million partnership deal with the Drone Racing League (DRL).
The deal gives Algorand title rights for upcoming seasons and enables the platform to launch blockchain collectibles in the form of NFTs.
Crypto-themed hackathon events will also start running around the DRL World Championship events.
Tezos Teams Up With McLaren Racing
Blockchain platform Tezos signed a multi-year partnership with McLaren Racing last year which enabled the company to display their brand across the F1 team’s vehicles and race suits.
Under the deal which was agreed for an undisclosed amount, Tezos became the official McLaren Technical Partner and launched a McLaren Racing NFT series shortly after.
The partnership enables the McLaren Racing team to provide a more immersive experience for their supporters.