Esports TSM recibe $ 210 millones de FTX Exchange por cambio de nombre
Cryptocurrency exchange FTX has entered into a multi-year partnership with Los Angeles-based esports organization TSM, under which the latter will change its name to TSM FTX.
This partnership became one of the most expensive arrangements in the sport's history to sell the rights to the name. The yearly wage of $21M that the crypto exchange will transfer to the TSM organization account exceeds the amount of most transactions concluded even by large enterprises with world sports companies, in order to link the names of the latter to specific stadiums or arenas.
Comparable cases include Citibank's recent $21M a year agreement with Mets, or a $20M a year deal between Britain's Barclays and Nets. Although the main difference is that no one obliged sports teams to change their name.
As part of the TSM deal, FTX intends to distribute digital currencies not only to players but also to its employees by investing $1 million in FTT, the FTX exchange token. At the current rate, this is about 28,775 FTT tokens.
FTX founder Sam Bankman-Fried noted. that cryptocurrencies and esports have a lot in common. Both industries have taken a great existing industry and reimagined it for digital, he said.
The head of TSM, in turn, clarified that they intend to spend the funds received during the transaction to attract new esports stars to their organization. Now they have the opportunity to provide them with decent salaries and unite teams in even more major leagues, opening new offices in Europe, South America, and China. They plan to make the TSM brand even more global.
This is not the first major FTX purchase in the sports world. The exchange previously spent $135 million buying the rights to the name of the Miami Heat stadium, which will be known as FTX Arena for the next 19 years.
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