Why The NFL Bans Cryptocurrency, NFT Sponsorships For Teams

Why The NFL Bans Cryptocurrency, NFT Sponsorships For Teams

The National Football League (NFL) has barred its teams from selling sponsorships to cryptocurrency trading firms or NFTs, as it evaluates the cryptocurrency industry.  

  • According to the report, the league is developing an official strategy for crypto and NFTs and till then the suspensions remain in place. 
  • NFL’s 32 team members are prohibited from selling ads or sponsorships to crypto coins, crypto marketplaces, and other companies that sell blockchain assets, as well as releasing their own NFTs. 
  • The league now has a set of rules that significantly limit what teams can use cryptocurrency. 
  • According to leagues' new rules, teams can collaborate with crypto adjacent companies, but partnerships with those directly tied to crypto, such as exchanges, go against the new guidelines.
  • “The teams can get sponsorships from companies whose primary business is providing investment advisory and or fund management services in connection with cryptocurrency, provided that such advertising sponsorship rights are limited to promoting the company’s corporate brands,” the report says. 
  • NFL players are allowed to have crypto and blockchain company sponsorships. 
  • Tom Brady and top draft choice Trevor Lawrence both have deals with FTX. In addition, Brady launched his own NFT platform, Autograph, in August.
  • The NFL was the last major sports league in the USA to allow gambling and liquor sponsors.
  • Other leagues have moved further with digital assets. NBA Top Shot, created through a partnership between Dapper Labs and the NBA, has hosted $675 million in sales since its beta launch in May 2020. 

Also Read: 10 Most Valuable NFL Teams: How Media Rights And A Super Bowl Affected The 2021 List

Photo: Adrian Curiel on Unsplash

Posted In: Bitcoincrypto-currencyleaguenflNFTsTom BradyCryptocurrencyNewsTop StoriesMarketsGeneral

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