Top cryptocurrency exchange in another characteristic move bagged a sports sponsorship deal with top-rated fighting body, Ultimate Fighting Championship (UFC) for $175 million. Announced unofficially through a CNBC report, the deal will supposedly last for ten years.
The Hong Kong-based cryptocurrency exchange becomes the first official fight kit partner of the UFC, a multi-year deal that will see it put the branding of Crypto.com on the fight kit items used throughout UFC, including athletes’ apparel. Speaking on this deal, UFC President Dana White said:
“This is a partnership between two companies that are the best at what they do. No company has done more to grow the popularity of combat sports than UFC, and now we’re one of the biggest sports brands on the planet. We can help Crypto.com reach more people around the world through the strength of our brand.”
Dana White comment rests on the backdrop of the over 625 million UFC fans watching its competition scattered acr0ss the globe. The sports industry undoubtedly attracts billions of dollars in advertising and viewing rights. Traditional finance industries like Banks leverage the sports and entertainment industry as a vehicle for mass adoption. Trading and now cryptocurrency platforms now see sports as a way to advance their mission of reaching out to new users with heavy spending budgets.
Since its establishment in 2016 with a simple belief that it is a basic human right for everyone to control their money, data and identity, it has continued to aggressively advertise by sponsoring sports teams across the globe. Crypto.com backs the Aston Martin’s Formula One team, National Hockey League’s Montreal Canadiens, and Italian soccer’s Coppa Italia final. Kris Marszalek, Co-Founder and CEO of Crypto.com who was excited at the latest sponsorship deal commented saying:
“It’s a historic moment as the fastest growing cryptocurrency platform joins forces with the fastest growing sport to help accelerate the world’s transition to cryptocurrency. This is just the beginning of a long relationship with UFC, and we’re looking forward to what we will build together.”
The exchange platform boasts of 10 million-plus users. It offers a slew of cryptocurrencies for its users to trade spot, futures and derivatives. Crypto.com is not the only crypto platform sponsoring sports companies. Other crypto entities which have signed endorsement deals with sports entities in the past include FTX which secured the naming rights to the Miami Heat’s arena. Paying $135m for a 19-year deal, it’s the most high-profile sports sponsorship by a crypto company. Another one is eToro, a crypto-trading service which partnered with several Premier League teams – paid for entirely with Bitcoin. By September 2020, the platform was one of Europe’s biggest football sponsors of clubs such as Tottenham Hotspur, Brighton & Hove Albion, and Cardiff City. Even Crypto.com’s latest partnership with a sports entity is not its first sponsorship foray into sports. However, this development is a net positive for the industry, which is always in search of onboarding mainstream users.