(LR) Conor McGregor of Ireland beats Dustin Poirier in a light fight during the UFC 257 event at the Etihad Arena on UFC Fight Island on January 23, 2021 in Abu Dhabi, United Arab Emirates.
Chris Unger | UFC | Getty Images
The Ultimate Fighting Championship owned by Endeavor agreed to a fighting set deal with cryptocurrency platform Crypto.com on Wednesday, the company announced to CNBC.
The multi-year agreement gives Crypto.com a branded exposure to combat equipment used throughout the UFC, including clothing (shorts, top bras, walk-out hoodies) worn by athletes during competition and training staff clothing. In addition, Crypto.com will also own the rights to the newly created sponsorship category “Cryptocurrency Platform Partner” from UFC.
The terms of the agreement have not been publicly disclosed, but according to data from those familiar with the agreement, it is worth $ 175 million over 10 years.
Crypto.com is a platform that enables users to buy and sell cryptocurrencies. The company generates income from transaction fees and claims to have more than 10 million users on its platform. Last week, the company also secured a $ 100 million sponsorship deal with Formula 1.
In a statement, Kris Marszalek, co-founder and CEO of Crypto.com, called the deal with UFC a “historic moment” and added that it would help the sport “accelerate the world’s transition to cryptocurrency.”
Marszalek added, “This is just the beginning of a long relationship with UFC and we look forward to what we will build together.”
The crypto sponsorship area will remain active in 2021. The National Basketball Association signed their first team jersey patch deal with a crypto company last week when the Portland Trail Blazers signed a deal with StormX with FTX.us. Other NBA teams, including the San Antonio Spurs, could also be targets. The Spurs have a void to fill as AT&T won’t renew its arena naming pact, which will expire in 2022. The team plans to evaluate potential crypto partners to adopt the arena name.
Deiveson Figueiredo (red gloves) and Brandon Moreno (blue gloves) during UFC 263 on June 12, 2021 at Gila River Arena in Glendale, AZ.
Louis Grasse | PxImages | Sportswire icon | Getty Images
Endeavor, the well-known Hollywood talent agency, bought the remaining stake in UFC in April and consolidated the mixed martial arts company before going public. UFC also has an exclusive licensing agreement with NFT company Dapper Labs, makers of the NBA’s top shot product.
“We’re in incredible shape in this business (UFC) right now,” Endeavor CEO Ari Emanuel told CNBC’s Squawk on the Street in April. He added that Endeavor was “the best positioned company for where the world is going in entertainment”.
UFC will host its main event “UFC 264” on Saturday, in which popular fighter Conor McGregor will take on Dustin Poirier for the third time. The fighters split their two previous games, including a McGregor loss in January at UFC 257.
Endeavor has a market capitalization of $ 11.2 billion, and the company’s shares closed 4% on Tuesday, trading at about $ 25 per share.