The home court of NBA superstar LeBron James and his colleagues is getting a new name. Crypto.com will replace Staples Center as the title sponsor of downtown Los Angeles’ famous arena, in the Singapore-based cryptocurrency exchange’s most recent high-profile sponsorship deal.
According to a business statement, the arena, which is owned and operated by Anschutz Entertainment Group, will debut its new name on Christmas Day during a Los Angeles Lakers home game. “If I have to pick one place to have naming rights, it would be Staples Center,” in the world’s cultural capital, says Kris Marszalek. He is Crypto.com’s chief executive officer.“This is in line with our ambition to be a top brand in the coming years, next to Nike and Apple.”
The partnerships reflect growing knowledge of cryptocurrencies and blockchain technology
While the financial parameters were not disclosed in the statement, two persons familiar with the transaction claimed it was worth more than $700 million over 20 years. Crypto.com has aggressively pursued sports sponsorship. Supporting teams and leagues in basketball, hockey, soccer, mixed martial arts, and esports. The partnerships reflect growing knowledge of cryptocurrencies and blockchain technology, as well as a desire by prominent companies to get in front of a youthful, affluent audience that enjoys watching sports and playing video games.
The transaction comes as investors and businesses seek to profit from the craze for cryptocurrencies and associated technologies. Simultaneously, politicians are advertising their crypto credentials while staying mindful of the volatility and mostly uncontrolled nature of the technology. Exchange of cryptocurrencies this year, FTX Trading Ltd replaces American Airlines Group as the sponsor of the Miami Heat’s arena. It also rebranded the football field for the University of California, Berkeley’s Cal Golden Bears. Some of the most prominent professional athletes are also investing in cryptocurrency. It includes football icon Tom Brady, who owns a stake in FTX.
AEG will spend around six months changing the arena’s external signage
The soon to have new name Crypto.com Arena opened in 1999. The Staples Center is named after the office supplies retailer Staples Inc. The arena hosts about 4 million visitors a year across more than 240 events. “It’s the biggest of stages,” says Dan Beckerman, CEO of AEG, in an interview. “We’re in the epicenter of the sports and entertainment world.” The deal also gives Crypto.com about 3,300 square feet of space at the arena’s entrance to promote its brand.
Following the Christmas opening, AEG will spend around six months changing the arena’s external signage. Preparing for the NBA, WNBA, and NHL clubs’ 2022-2023 seasons. When Los Angeles holds the Olympics in 2028, the arena will also serve as a basketball site. The venue and the Los Angeles teams are the latest additions to Crypto.com’s growing list of sports-related partners. Crypto.com has agreements with the Philadelphia 76ers, Montreal Canadiens, Italy’s Serie A soccer league. As well as the Formula One racing circuit, and the Ultimate Fighting Championship.
