Back in August 2021, Riot Games — the developer of league of legends— Signed a sponsorship deal worth tens of millions of dollars with cryptocurrency exchange FTX. Look, Now Bankrupt Exchange With Founder Arrested And Facing Serious Fraud And Money Laundering Charges.
As Web3 is on track Reported by Molly White, the deal is set to run for seven years, with FTX making a “substantial payment” to Riot, starting at $12.5 million in calendar year 2022 (e.g. escalating to $12.875 in 2023). So far, only $6.25 million of the 2022 amount has been paid out, and with Riot unlikely to receive another cent, the company has filed a bankruptcy court in Delaware to void the remaining sponsorship deal. filed a lawsuit demanding that
In strict business terms, it makes perfect sense. As Riot notes in its filing, FTX has declared bankruptcy.by any chance someone do I have a question, Riot adds: FTX cannot turn back the clock or undo damage taken after the Riot collapses. ”
Fundamentally, Riot claims that FTX’s reputation has been so thoroughly ruined over the past few weeks that even being remotely associated with a failed exchange is hurting Riot. To draw a bow across the board, Riot throws in his FTX facts. Disgraced ex-boss Sam Bankman Freed gained notoriety for playing Riot’s league of legends during a business meeting:
Prior to and during this media storm, Riot’s reputation for image and customer base was closely tied to FTX through former CEO Bankman-Fried. News outlets and Twitter commentators flew images of Bankman-Fried playing League of Legends (Riot Games’ game) while FTX crashed. BankmanFried is known for his love of games. He is well known among investors for playing League of Legends during conferences. He tweeted: “He admitted he played a lot more. [League of Legends] than you’d expect from someone who routinely makes sleep-work tradeoffs.” Musk adds to the subject of online commentary.
You would think Riot would know this. all thisbut another part of the filing claims that FTX trading should be closed. “Commercialize the sponsorship category of cryptocurrency exchanges…now owned by FTX”. Fool me once, Shame on you, etc.