Cryptocurrency may have taken a nosedive this year, but it has also helped fuel NBA sponsorships in the 2021-2022 season.
According to estimates by IEG, a sports partnerships consultancy, crypto partnerships are now the second most lucrative sponsorship category for the NBA, behind only the technology category.
Sponsorships reached a record $1.6 billion in the 2021-22 season, a figure up 13% from the NBA’s $1.4 billion in sponsorship revenue in the 2020-21 season.
In the 2018-19 season, the National Basketball Association raked in $1.2 billion in sponsorship money. Sponsorship agreements can include deals for arena-naming rights and for companies to put their names or logos on players’ jerseys.
Sponsorships include deals for arena-naming rights and for companies to put their names or logos on players’ jerseys.
“The cryptocurrency category’s sponsorship sending spree is like nothing we have ever seen before,” said Peter Laatz, IEG’s global managing director.
the NBA’s crypto deals this season was a league agreement with crypto trading platform Coinbase. CNBC reported that the deal is worth $192 million over four years.
Among the big four sports leagues, the NBA ranks third in sponsorship revenue.
IEG’s projections come as the NBA Finals are set to begin on Thursday, when the Golden State Warriors will host the Boston Celtics in Game 1 at Chase Center.
Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.