Staples had already paid $ 120 million to secure the arena’s naming rights in 1999, according to the Financial Times
The award-winning Staples Center entertainment venue, which is owned by entertainment company Anschutz Entertainment Group, AEG, will be renamed “Crypto.com Arena,” according to an article posted on the arena’s website. While details have not been released, people in the know say the deal is worth $ 700 million and will last 20 years.
The multi-purpose arena, which hosts professional sports teams such as the Los Angeles Lakers, Clippers, Sparks, and ice hockey Kings, will be unveiled under its new name on Christmas Day with the LA Lakers hosting the Brooklyn Nets. The idea is to completely eliminate the physical Staples brand by June 2022.
Crypto.com CEO Kris Marszalek hailed the partnership as one that people will look to in the next few years and will agree that it marks the entry of cryptocurrencies into the mainstream.
“We are very excited to partner with AEG and make a long-term investment in this city, starting with Crypto.com Arena in the heart of downtown, and using our platform in new ways and creative so that cryptocurrency can fuel the future of world-class sports. , entertainment and technology for fans in Los Angeles and around the world ”, he added.
Additionally, Marszalek said the deal will not involve crypto, making it clear that it will be a cash deal instead. The executive also said that while people would struggle to adjust to the new name, they should expect to see positive changes over time.
For his part, AEG Chief Revenue Officer Todd Goldstein hailed the partnership as one that represented the coming together of an important entity in the entertainment industry and a rapidly growing crypto platform.
“This marks an exciting new chapter in the history of our company and our respective industries, and we couldn’t be more thrilled to have such a visionary partner as Crypto.com to support our global fan base and local community. “
The deal marks the second time that a crypto exchange has worked with an NBA franchise entity. In March, Bahamian-based cryptocurrency exchange FTX struck a 19-year, $ 135 million deal with Miami Heat to rename its home location to FTX Arena.
Since the 20,000-seat entertainment venue opened in 1999, its naming rights have remained with office retailer Staples Inc. Staples had paid $ 120 million for the deal, but to Halfway through the deal, he added an undisclosed sum to retain the rights.