The cryptocurrency exchange paid $700 million to rename the stadium. Why?
Singapore-based trading platform Crypto.com has announced the reservation of rights to the name of Staples Center, the sports complex and base of the famous Lakers basketball team. The rights will be held by the crypto platform for at least 20 years, so its name will appear during the most important sporting events. The deal was made between the company and stadium operator AEG, with a value of $700 million. We tell about what is happening in more detail.
It should be noted that cooperation with sports teams has become a trend for large cryptocurrency exchanges. The most notable initiatives here in autumn were the initiatives of the Binance exchange. For example, in October the exchange concluded a collaboration with Italian football club Lazio. Now the uniform of its players looks like this.
Binance logo on Lazio’s uniform
Well, at the beginning of November the same thing happened with the club Porto. And the team’s jersey has found room not only for the Binance logo.
Binance logo on a Porto uniform
Where cryptocurrency exchanges are advertised
The previous big deal involving sports brands was a $135 million agreement between cryptocurrency exchange FTX and the owner of the Miami Heat arena. And that’s not all: just last month, major US crypto-exchange Coinbase entered into an agreement with the NBA, WNBA and affiliated sports leagues for an “advertising presence” at their matches.
In other words, sports event fans will soon be seeing a lot more crypto-related advertising. On December 25, Staples Center will officially become Crypto.com Arena. The sports complex will change its advertising signs, banners and all materials, which will now be owned by a Singapore-based company.
Which means that by the end of the year, the cryptocurrency platform will become visible to a growing number of aspiring investors. Obviously, this kind of publicity will definitely be enough to make sports fans pay attention to digital assets. That said, given that Bitcoin recently set a new all-time high of $69,000, it will be much easier to decide to get involved with digital assets.
Staples Center
Crypto.com will also partner directly with the LA Kings and Los Angeles Lakers basketball teams as part of the deal. It’s also likely that the exchange will be more active in promoting its brand in Los Angeles as a whole.
Here’s a quote from its CEO Chris Marshalec, in which he shares his view of what’s happening in the niche. The quote is quoted by Decrypt.
We’re very excited about the partnership with AEG and the long-term investment in this city, starting with Crypto.com Arena in the heart of Los Angeles.
From this we can conclude that the exchange management's promotional initiatives will not end there. Accordingly, the platform's representatives are surely betting on the continued growth of the cryptocurrency market and its further popularization.
Announcement of a deal with AEG
In addition, Crypto.com is sponsoring NFT collections related to the UFC and Formula 1, as well as partnering with individual sports clubs like Paris Saint-Germain and Montreal Canadiens. All this should significantly increase the marketing reach for the firm, attract new crypto-enthusiasts and have a positive effect on the cryptocurrency industry as a whole.
We think that Crypto.com's activity deserves nothing but praise. Obviously, by doing so, the brand's worldwide presence will increase significantly, which means there will only be more users and fans of cryptocurrencies over time.
Hopefully, such actions can not only interest people not yet connected to the digital asset industry, but also improve the reputation of coins. Alas, due to efforts of bankers and officials in their time, many people still consider crypto as just a tool for tax evasion and financing of banned activities.
For more interesting news, check out our Millionaire Crypto Chat. There, we’ll discuss other important developments affecting the decentralized asset industry.
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