On Monday, the NFL made several big and game-changing news. Along with announcing Detroit as the host city for the 2024 draught, the NFL said that teams would be permitted to pursue blockchain collaborations with companies such as Coinbase and FTX.
The introduction of blockchain sponsorships is projected to considerably enhance sponsorship revenue over the upcoming season.
Several Significant Announcements
Following the confirmation of Detroit as the host city for the 2024 draught, the NFL moved on to other key announcements during its annual meetings, including the league’s revelation that teams are now permitted to collaborate with blockchain platforms. The NFT had collected a startling sponsorship revenue of about $2 billion for the 2021 season, and with blockchain partnerships now on the table, sponsorship revenue for the next season might climb significantly.
The league stated last week that it will relax its rules and give teams more leeway, letting them to engage with and secure sponsorships from companies using blockchain technologies.
The Door Is Half-Open, Not Fully Open
While letting teams to partner with businesses that use blockchain technology is a significant step forward, teams remain barred from bitcoin sponsorships. Rennie Anderson, NFL Chief Revenue Officer, commented in response to the decisions,
“This is a little bit of what we can learn from the marketplace versus us going out and acting like we know everything. We have the ability to let the marketplace tell us what they think about themselves in the category.”
Blockchain Hits The NFL
Additionally, the league stated its desire to allow NFL clubs to explore sponsorship options through platforms like as FTX, Coinbase, and others, as part of the league’s rollout of its newest asset. Anderson believes that the assets will assist attract partners to hold rights, such as the NFL’s official digital wallet and blockchain partners. Anderson emphasized, though, that the NFL is still learning about blockchain technology and the benefits it provides. According to Anderson,
“I think we’ll learn a lot about the use cases about how they can transform our future.”
Apart from cryptocurrencies, blockchain technology has important implications in providing proofs of authenticity and ownership for collectibles such as non-fungible tokens (NFTs).
Not Yet Convinced on Cryptocurrency
However, Anderson indicated that the NFL is still opposed to cryptocurrencies and that it will “guard the business” by gradually entering the space. This could imply that the NFL is taking a wait-and-see stance as government authorities discuss cryptocurrency and the crypto sector rules. This is in sharp contrast to the NBA’s stance, which has gone all-in on cryptocurrency. Anderson stated, “With regards to the NFL’s attitude,
“We don’t have to be the first,” said Anderson. “But when we do something, we’ve got to get it right.”
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.