Miami-Dade County will soon begin withdraw FTX's advertising brand of the NBA's Miami Heat stadium, after a US bankruptcy judge granted it the right in Delaware on Jan. 11, Associated Press reports.
County officials negotiated in 2021 a $135 million deal with the crypto exchange to rename the Miami Heat's arena rights as FTX Arena through 2040. Multiple entrances, arena roof, basketball court , the security poles, as well as many of the cards employees use to access the facilities are marked with the FTX logos.
Following FTX's bankruptcy filing, Miami-Dade officials filed a motion Nov. 22 to rescind the naming rights deal. As part of that deal, the Heat would receive $2 million annually starting in June 2021. Jan. 1 was the due date for the last payment, which should have been $5.5 million.
Sports sponsorship deals were one of FTX's key marketing strategies. One of the partnerships included a deal with a Mercedes-backed international Formula 1 racing team, naming rights to Cal Memorial Stadium in Berkeley, California, as well as sponsorship from NFL quarterback Tom Brady.
Related: FTX Has Recovered Over $5 Billion In Cash And Liquid Crypto: Report
Professional esports organization Team SoloMid (TSM) has also suspended a $210 million deal with FTX, Cointelegraph reported. The partnership took place in June 2021 and resulted in TSM's name change to TSM FTX.
In another hearing held by Judge John T. Dorsey, a lawyer representing the collapsed crypto exchange stated that FTX has โrecovered $5 billion in cash and liquid crypto.โ although its liabilities reach 8,800 million dollars. Additionally, Judge Dorsey approved a request to keep the names of FTX clients secret for three months.
Approximately 130 companies in the FTX Group, including FTX Trading, FTX US, under West Realm Shires Services, and Alameda Research, filed for bankruptcy in the United States on November 11, following the โliquidity crisisโ and the dramatic collapse of the crypto exchange.
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