The crypto exchange is trying to catch up in terms of precedence and brand awareness by forging high-profile partnerships with well-known sports players in the US. The goal is simple: to get its name on everyone’s lips.
FTX and sports partnerships: millions for a unique brand awareness
On September 15, 2021, Decrypt editor Daniel Roberts tweeted FTX CEO Sam Bankman-Fried’s response to his question about the effectiveness of the exchange’s hundreds of millions of dollars in sports partnerships in terms of customer acquisition. The FTX CEO especially emphasized the important contribution of these collaborations to brand awareness, an awareness that could not have been bought “with Facebook ads”.
Sam Bankman-Fried had said at the Finance Crypto Goes Mainstream event hosted by Decrypt and Yahoo Finance, that while the exchange was seeing significant growth in terms of user numbers, it was “really behind on name recognition.” In particular, he recalled that FTX has been around “for two and a half years. That’s a lot less time than some of the other big names in the cryptocurrency exchange industry.” Beginners who dive into cryptocurrencies, generally “haven’t heard of FTX.”
Sports teams and stadiums in FTX’s name
FTX recently invested $210 million to rename the Miami Heat’s stadium to FTX Arena starting with the 2021 – 2022 season. The exchange also put more than $200 million on the table to have its name next to that of the American professional e-sports team Team SoloMid.
FTX has also become the official cryptocurrency exchange of Major League Baseball. The agreement includes the wearing of an FTX patch by the League’s umpires on their uniforms. FTX also entered into a naming deal, purchasing the rights to California Memorial Stadium to rename it the California Golden Bears stadium to FTX Field.
FTX also released an exchange advertising video targeting American soccer fans, with NFL quarterback Tom Brady as the exchange’s ambassador and star of the spot.
FTX wants to make a name for itself, despite its relatively young age, with millions of dollars and by putting its name next to sports celebrities. The exchange has a strong financial backbone. It recently raised nearly half a billion dollars to carry out its development plan.
