Hong Kong-based Crypto.com has signed a deal with Anschutz Entertainment Group (AEG), the owner of the Staples Center, to rename the 20,000-seat stadium Crypto.com Arena. A report unveiled this news earlier today, noting that the crypto platform parted with $700.00 million to secure naming rights to the arena. Reportedly, this is the largest naming right deal in US history and is set to last for 20 years.
According to the report, the arena is home to four professional sports teams. These are the LA Lakers, the LA Clippers, the LA Sparks, and the LA Kings. The deal will become official on December 25 this year, allowing Crypto.com to rebrand the stadium. Notably, the rebranding will coincide with NBA’s highest-profile regular-season game.
Staples Center is also a leading concert venue, having hosted renowned artists like Bruce Springsteen and Taylor Swift. On top of this, the arena has housed 19 of the 21 Grammy awards.
The stadium opened in October 1999, and this will become its first rebranding. Staples Inc initially paid $100 million to name the stadium Staples Center for 10 years. After the agreement lapsed, the office supply company signed a deal to extend the naming rights indefinitely. However, AEG bought back the naming rights in 2019 for an undisclosed amount.
A big arena to represent a rapidly-growing platform
Commenting on this deal, AEG’s Chief Revenue Officer, Todd Goldstein,
“This partnership represents the fastest-growing cryptocurrency platform and the biggest sports and live entertainment company in the world converging to drive the future of sports and live entertainment as well as the incredible legacy of this arena for decades to come.”
He added that the deal marks an exciting new chapter in the history of AEG and its respective industries. Todd touted Crypto.com, saying AEG is thrilled to have a visionary partner to support its local community and global fan base.
Hinting that this partnership might include other deals, Crypto.com’s founder, Kris Marszalek, said,
“We’re very excited about partnering with AEG and investing long term in this city, starting with Crypto.com Arena in the heart of downtown, and using our platform in new 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.”
Crypto.com’s affinity with the sports industry
This news comes after Crypto.com signed a $175 million fight-kit deal with the Ultimate Fighting Championship (UFC) in July this year. The agreement saw the crypto platform get a brand presence on fight kit apparel used in matches. Reportedly, the deal also saw Crypto.com own the rights to UFC’s Cryptocurrency Platform Partner sponsorship category.
Apart from Crypto.com, other platforms in the digital currency space have been forging strategic deals with the sports world. For instance, Coinbase entered into a sponsorship deal with the NBA in the past month. This agreement made the famed exchange the official sponsor of several platforms in the league, including NBA, WNBA, NBA G League, NBA 2K league, and USA Basketball.