The iconic Staples Center in Los Angeles will be at the center of the largest naming deal in sports history. Crypto.com cryptocurrency exchange will pay AEG to rename the stadium, which hosts the most popular club in the NBA, the Los Angeles Lakers, for 20 years. -1 “, this deal will continue the active invasion of the sports market, writes thecryptocurrencymagazine.com
And the news was given additional resonance by the financial details of the agreement, released by ESPN. According to him, the Crypto.com cryptocurrency exchange will pay $ 700 million for the right to use its name instead of the usual one for 20 years. For betting on football matches, check out Android Betting Apps if you use Android based mobile phones.
Thus, we are most likely talking about a record deal related to the naming of the stadium.
The practice of selling arena names has become very common in the past decade. It is most actively used in the United States, or rather, in professional American leagues. So far, the most expensive transaction of this kind has been the one that gave its name in 2011 to the recently built home stadium of the famous American football teams – the New York Giants and New York Jets. Since then it has been the MetLife Stadium. For its naming over a 25-year period, the insurance holding Metropolitan Life Insurance paid $ 400 million. The annual value of several more deals was about $ 10 million.
Naming is already widespread in European football. True, the exact cost of transactions here is often difficult to determine.
The fact is that often the right to use the company name as the name of the stadium is included in the general sponsorship agreement.
Most sources believe that the leader in the high cost of naming is the home arena of English Manchester City: Etihad spends up to £ 15 million on it annually.
The deal, centered on the Staples Center, continued another trend. Cryptocurrency companies have been paying attention to the sports market lately. But it is Singapore-based Crypto.com that is making its most energetic invasion. Prior to her contract with AEG, she had already become a partner of the UFC, the main promotion in mixed martial arts, as well as Formula 1. The cost of both contracts is extremely high. In the first case, this is a ten-year agreement for $ 175 million, in the second – a five-year agreement for $ 100 million. In addition, Crypto.com has sponsorship contracts in football with Serie A, the top Italian division, and French PSG, as well as with the NHL and NBA clubs.
However, if all the previous sports contracts of the company remained virtually unnoticed, then the one that it entered into with AEG has already become one of the most discussed events. And the first reaction to Crypto.com’s acquisition of the name of the main California indoor arena is unequivocally negative.
The same prediction was made by Russell Westbrook, the club’s superstar. And the Los Angeles Clippers player, who will have to play for a short time at the Crypto.com Arena (for 2024, the team plans to move to a new stadium), Paul George put it even more harshly. In his opinion, the renaming of Staples Center means “a mockery of its history.”