Staples Center in L.A. to Be Renamed Crypto.com Arena
Irwin Kishner, co-chair of Herrick's Sports Law Group, spoke to The Wall Street Journal about the renaming of the Staples Center in Los Angeles to the "Crypto.com Arena" after a Singapore-based cryptocurrency brokerage paid to sponsor the sports and concert arena. The 20,000-seat arena is home base for the NBA's Los Angeles Lakers, the NBA's Los Angeles Clippers and the National Hockey League’s Los Angeles Kings and is also a concert hub.
According to the article, "The arena’s owner, AEG Worldwide, said it struck a 20-year naming-rights agreement with Crypto.com. The digital-currencies company agreed to pay $700 million over the life of the agreement, according to people familiar with the deal. The name change would take effect Dec. 25."
Furthermore, the article notes that this deal is the "latest attempt by the upstart cryptocurrency industry to gain mainstream recognition," citing other cryptocurrency companies that have targeted sports to introduce themselves to a wider audience.
With respect to the Crypto.com price tag, Kishner reflected, "This is certainly one of the largest deals I’ve ever heard of," adding, "It’s absolutely a ground-shaking, major transaction."
Read the full article in The Wall Street Journal here. Access may require a subscription.