Crypto companies spent nearly $170 million on sponsorship deals with Premier League clubs for the 2024/2025 season, according to data from SportsQuake.

As of October 7, sponsorships from crypto firms have significantly increased, flowing into the coffers of Premier League clubs. This surge comes as the League prepares to implement stricter regulations on gambling sponsorships, creating a window of opportunity for crypto firms to step in and form new partnerships with football leagues.

Data from sports sponsorship agency SportQuake shows that the total sponsorship value from crypto firms has risen by almost 30% compared to last year. SportQuake’s CEO, Matt House, noted that clubs are now more confident in making deals with crypto firms, despite previously tightened rules around cryptoasset marketing. House explained that crypto firms have become more “comfortable about what they can do” in these sponsorship roles.

“We’re just going to use the Premier League to drive a brand message; we’re not actually pushing direct sales messages,” said House.

Notable Crypto Partnerships with Football Clubs

One of the most significant partnerships occurred in July 2024 when Kraken announced its collaboration with Spanish football club Atlético de Madrid. This deal made Kraken the official crypto and Web3 partner of the Madrid-based club. As part of the agreement, Kraken’s logo will appear on the sleeves of both the men’s and women’s teams for the upcoming season.

Another prominent deal involves crypto exchange OKX, which secured a sponsorship with Manchester City, the reigning champions of the Premier League. Additionally, the cryptocurrency ecosystem Floki has announced its sponsorship of Nottingham Forest.

In August, Crypto.com revealed its sponsorship of the Union of European Football Associations’ Champions League, further solidifying the presence of crypto firms in football sponsorships.

Changing Terms of Football Partnerships

Although more football clubs are embracing crypto sponsorships, contracts show that there is still a cautious approach. Lawyers at Charles Russell Speechlys highlight that newer companies in the football scene, such as crypto firms, are often required to pay money upfront. Contracts may also include a boilerplate clause for reputational harm, allowing clubs to sever ties if they perceive a significant risk.

As a protective measure, rights holders might request a letter of credit or a guarantee from a bank or parent company before finalizing a deal. Despite the rise of crypto sponsorships, some clubs continue to maintain their partnerships with gambling companies. Bournemouth, Crystal Palace, and Aston Villa, for instance, have signed new sponsorship deals with betting companies this year, even with the impending ban.

Summary

Since 2021, crypto firms have secured 33 deals with football clubs, marking a significant shift in the sports sponsorship landscape. As the Premier League and other football leagues navigate new regulations, crypto companies are stepping in to fill the sponsorship void left by traditional gambling firms.

For more updates on crypto sponsorships and financial news, visit Global Crypto News.

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