Nets Guard Tweets 'BTC' As He Plans to Tokenize His NBA Contract

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Brooklyn Nets guard Spencer Dinwiddie is ready to play ball with the digital economy. He’s going all in on tokenization. The NBA player is planning to start a company that will turn his $34.36 million, three-year contract into a digital investment vehicle.

According to The Athletic, several sources say that Dinwiddie plans to convert his contract into a digital token and then use it as collateral to raise capital.

“In a securitization, the borrower gives up some future income in return for a smaller lump sum payment. But the borrower, in this case Dinwiddie, then has more money to immediately invest than he otherwise would.

A token is a digital currency term. The bond exists in the digital currency world. Instead of buying the bond from a broker, it is through a token.

According to sources, this Dinwiddie bond would pay investors principal back and interest, which would be covered by what the Nets owe him.”

Dinwiddie also put a pro spin on crypto by tweeting “btc” to his followers on Thursday, prompting a colorful response from leading cryptocurrency exchange Binance.

Replying to @SDinwiddie_25
🏀 🏀
🏀🏀🏀🏀🏀🏀
🏀 🏀 🏀🏀
🏀 🏀 🏀🏀
🏀 🏀 🏀🏀
🏀🏀🏀🏀🏀🏀
🏀 🏀 🏀🏀
🏀 🏀 🏀🏀
🏀 🏀 🏀🏀
🏀🏀🏀🏀🏀🏀
🏀 🏀

— Binance (@binance) September 13, 2019

Morgan Creek Digital partner Anthony Pompliano also gave a shout-out to Dinwiddie for exemplifying one of his mantras: “Tokenize the world.”

“My guy @SDinwiddie_25 is turning his NBA contract into a tokenized investment vehicle. Bang Bang….Welcome to the future.”

Writes Pomp in a blog post published last year, entitled The SEC will mandate Security Tokens,

“It will be difficult for regulators to ignore the benefits of tokenized securities once the technology & impact is better understood.

The idea of regulation becoming proactive, while also increasing compliance and data accuracy/transparency, is quite compelling. Not to mention, the hundreds of millions of dollars and thousands of man hours that can be saved.

Simply, a tokenized securities market is an improved securities market.”