The move has been hailed as a “smart token marketing strategy”.
Crypto.com’s currency, the CRO token, has risen nearly 70 percent as a result of the platform’s naming rights deal for AEG’s Staples Center, according to a new report.
The Singapore-based cryptocurrency company is said to be paying $700 million (£519 million) over a 20-year period to rename the building, which is believed to be the largest deal of its kind in history.
Forbes It has since been reported that the coin’s value has risen 69.9 percent since last week’s announcement that the 20,000-capacity multi-purpose venue in Los Angeles – soon to be followed by the likes of Cassie Musgraves, The Weeknd and Imagine Dragons – will be in the coming months. Will host – to rename Crypto.com Arena.
In a recent tweet, Meltem Demirors, Chief Strategy Officer at CoinShares International, stated that “the resulting PR doubled its token value and led to a $9B run-up in market cap, which the deal paid for itself.” Gone ~13x over,” adding “Who else benefited from solving difficult token distribution, but smart token marketing strategy!
https://t.co/cYo1Fq8ABI $700M over 20 years of sponsorship, and the resulting PR more than doubled its token value and led to a $9B run-up in market cap
The deal paid for itself ~13x more, it’s hard to sort out token distribution and who benefits, but smart token marketing strategy!
— Meltem Demir rs (@Melt_Dem) November 21, 2021
“We are very excited to partner with AEG and make a long-term investment in this city,” said Chris Marszalek, Co-Founder and CEO of Crypto.com. Innovative 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.
Since its opening in 1999, the venue has been home to the NBA franchises Los Angeles Lakers and Los Angeles Clippers, as well as the Los Angeles Kings (NHL’s) and Los Angeles Sparks (WNBA). It has also hosted 19 of the last 21 Grammy Awards shows.
Earlier this year Crypto.com became the first crypto platform to partner with an F1 team (Aston Martin), NHL team (Montreal Canadiens) and a professional sports league (Italy’s Serie A).