09 Aug CRO Rallies as Crypto.com Scores USD 700M Arena Deal
Crypto.com coin (CRO) has jumped nearly 10% in a day, following the news that the Singapore-headquartered crypto platform Crypto.com has signed a deal with sports and live entertainment group AEG to secure the naming rights for the famous Staples Center.
At 8:43 UTC, CRO was trading at USD 0.458, having appreciated 9% in a day. Overall, it’s up nearly 30% in the past week.
Staples Center is the Los Angeles-based arena notable for hosting high-profile sports events and shows including the home games of NBA teams Los Angeles Lakers and LA Clippers. As part of the agreement, which will enter into force on December 25, the 20,000-seat facility will be renamed Crypto.com Arena.
In addition to this, Crypto.com will become the official crypto platform partner of the two sides, the platform said.
Specialist industry publication Front Office Sports estimates that the naming rights agreement brings the value of similar contracts to a new level, with NBA analysts confirming it is believed to be the most expensive US venue naming rights deal in history.
With an estimated value of USD 700m for a 20-year period, the contract significantly exceeds the value of a deal signed by crypto exchange FTX to secure the naming rights for the Miami-based venue previously known as American Airlines Arena, valued at USD 135m for a period of 19 years.
To kick off the partnership, said the statement, AEG and Crypto.com will unveil the new logo and other branding assets, which include the internal arena signage of the Crypto.com Arena on Christmas Day, when the Los Angeles Lakers host the Brooklyn Nets. Meanwhile, all of the venue’s external signage will be replaced by June 2022.
Kris Marszalek, Co-Founder and CEO of Crypto.com, said the company is “investing long term in this city, starting with Crypto.com Arena in the heart of downtown, and using our platform in new and creative ways so that cryptocurrency can power the future of world-class sports, entertainment, and technology for fans in LA and around the world.”
In September, Crypto.com announced its first official jersey patch partnership with an NBA team, the Philadelphia 76ers.
Crypto.com claims it has more than 10m customers. The Los Angeles expansion is part of the company’s ongoing drive to boost its global recognition that includes a recently unveiled USD 100m advertising campaign featuring Oscar-winning actor Matt Damon.