It’s been a week filled with sporting action in the crypto landscape, from new partnership deals to controversial NFT efforts to new crypto exchange ambassadors, the sporting space has been active this past week.
Every Sunday we explore the last week of sports participation in crypto and blockchain technologies with a brief recap in Sports part. Let’s take a look at the last seven days of action as we approach the last week of March.
Crypto.com continues its work and adds the World Cup to the summary.
Crypto.com is not shy when it comes to sports sponsorship. Late last year, the cryptocurrency exchange made headlines when it struck a deal for the naming rights to the Staples Center in Los Angeles, home to some of major league athletics’ most famous teams. The exchange is also partnering with the UFC as its sports portfolio remains diverse.
Since then, the exchange has been sport-focused and made the news again – this time as the official sponsor of the World Cup in Qatar. The FIFA World Cup draws billions of viewers every year, offering huge potential to attract new consumers around the world, and likely at a huge (but currently undisclosed) price.
NFL loosens restrictions on cryptocurrencies
For nearly a year of publishing The Sports Slice, we’ve covered quite a bit of content each week about the ongoing relationship between the NFL and cryptocurrency. The league clearly sees the undeniable revenue potential from blockchain and cryptocurrency-related businesses, but as is often the case, the NFL is not interested in being the first (or even second) player in the gaming region; they feel much more comfortable playing their cards when it comes to new categories of sponsorship.
However, potential income opportunities could turn the page for the NFL. New reports this week have revealed that the NFL will now allow teams to do their own sponsorship deals in the space, but still won’t allow direct cryptocurrency promotion. This also includes fan tokens. In addition, there are restrictions on stadium signage and duration of transactions (currently capped at a maximum of three years for transactions), but this decision signals a clear shift towards the NFL’s willingness to engage in cryptocurrency and blockchain transactions. Slowly but surely.
FTX Adds Naomi Osaka to Growing List of Ambassadors
Naomi Osaka is a young tennis star on her way to becoming one of the greatest tennis players in the history of the sport. Osaka has advocated for athletes to talk about mental health issues, and she has also been a curious researcher of blockchain technology. Osaka previously issued NFTs through a partnership with Autograph.io that generated over half a million dollars in sales; Osaka is also a member of the Autograph Council.
This week, crypto exchange FTX, frequently featured in Sports Slice, signed its latest deal with Osaka, joining the likes of NBA star Steph Curry and NFL legend Tom Brady. Female representation in crypto is an area that needs special development, and ideally this Osaka deal could help with that.
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NFT critics are setting sights on Layer-2 solutions like Polygon, associating them with the energy consumption of Ethereum since they are reliant on the Ethereum blockchain. | Source: MATIC-USD on TradingView.com
Liverpool are receiving mixed reviews from their NFT Endeavor.
Liverpool FC are in dire straits following the announcement of a new NFT issue of over 170,000 NFTs, which is expected to net the club nearly $10 million. Liverpool said it would sell the NFTs within three days, publish them on the Polygon blockchain, and burn any unsold NFTs in the collection.
While this all seems relatively straightforward when it comes to NFT builds – so where does the controversy come from? Many critics have begun to argue that since Polygon depends on Ethereum (because it is a scaling solution), its dependence increases the detrimental power consumption that Ethereum is often criticized for. In short, critics of the NFT version argue that using Polygon is essentially equivalent to using Ethereum, and the impact of this on energy must be considered.
Related Reading | Rio de Janeiro will allow paying tax on cryptocurrencies starting next year
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The writer of this content is not associated or affiliated with any of the parties mentioned in this article. This is not financial advice.