Digital assets exchange Crypto.com is reportedly backing out of a sponsorship deal worth hundreds of millions of dollars with a prestigious soccer league in Europe.
According to a new report by Sports Business, Crypto.com, a brand known for teaming up with sports companies, is no longer interested in collaborating with the Union of European Football Associations (UEFA).
The digital assets exchange walked out on a five-season deal worth about $99.9 million per year. The report says that the deal was agreed upon in principle and in the most advanced stages of its negotiation, but it collapsed before the two parties were able to officially sign off on it.
According to the report, the abrupt end of the negotiations had nothing to do with the downturn of the crypto markets this year.
The deal fell apart after Crypto.com took legal advice regarding its discussions with national regulators in some key European countries including France, the United Kingdom and Italy on how to obtain the proper licenses needed to operate, according to the report.
Last year, the digital assets exchange inked a deal to pay $700 million over 20 years to change the name of the home of the NBA’s Los Angeles Lakers and Los Angeles Clippers to Crypto.com Arena. Late last month, the company announced that they are supporting a nine-figure investment to renovate and upgrade the iconic stadium.
News of the nixed partnership had little impact on CRO, Crypto.com’s native asset. At time of writing, CRO is changing hands for $0.119, flat on the day.Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
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