Financial services company Crypto.com has pulled out of a proposed agreement to become the title sponsor of soccer’s Uefa Champions League, according to two people with knowledge of the negotiations.
What is Crypto.com?
Crypto.com is a digital asset and payment platform that allows users to buy, sell, and store cryptocurrencies. The platform also offers a variety of other financial services, such as a debit card and merchant processing. Crypto.com recently announced that it will be pulling out of its sponsorship deal with the UEFA Champions League.
This decision comes as a surprise to many, as Crypto.com had only recently become a sponsor of the Champions League. However, the company has stated that the decision was made in order to focus on its core products and services. It remains to be seen what this will mean for Crypto.com’s presence in the world of football sponsorship.
What was the Uefa Champions League deal?
Crypto.com, one of the world’s leading cryptocurrency companies, has pulled out of a sponsorship deal with the Uefa Champions League.
The deal, which was worth a reported $5 million, would have seen Crypto.com become the official cryptocurrency partner of the Champions League.
However, the deal has now been terminated following a meeting between Crypto.com and Uefa officials.
It is not yet clear why the deal was terminated, but it is believed that Uefa was concerned about the reputational risk of associating with a cryptocurrency company.
This is not the first time that a major sponsorship deal involving a cryptocurrency company has been terminated. Last year, an agreement between Japanese crypto exchange Coincheck and football club Arsenal was also ended abruptly.
The termination of the Uefa Champions League deal is a setback for Crypto.com, but the company remains committed to promoting the use of cryptocurrencies in the mainstream.
Why did Crypto.com pull out of the deal?
Crypto.com has pulled out of a deal with UEFA to become an official sponsor of the Champions League. The cryptocurrency company had agreed to pay $30 million for the rights to sponsor the tournament, but has now backed out of the deal.
It is not clear why Crypto.com has pulled out of the deal, but it may be due to the current economic climate. With the coronavirus pandemic causing widespread economic uncertainty, companies are cutting back on their spending. It is possible that Crypto.com decided that it could not afford to sponsor the Champions League at this time.
Reaction from Uefa
Uefa has released a statement following the news that Crypto.com has pulled out of their Champions League deal.
‘We are disappointed that Crypto.com has chosen to withdraw from our partnership,’ the statement read. ‘However, we remain committed to working with companies who share our values and who are looking to innovate in order to grow the game.’
Uefa went on to say that they will be working with their other partners to ensure that the Champions League remains a premier competition.
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