• After NBA’s NFT Frenzy, NFL Bans Cryptocurrency and NFT Trading for Now

  • The 32-team National Football League has announced a surprisingly temporary halt to cryptocurrency sponsorship and the sale of a team’s or individual’s non-fungible tokens (NFTs). The move comes as the league is in the process of developing a digital trading card and art strategy for sports, instead.

    “Clubs are prohibited from selling, or otherwise permitting the advertising of, specific cryptocurrencies, initial coin offerings, other cryptocurrency sales, or any other media category within Club-controlled media as it relates to blockchain, digital assets, or as a blockchain company, except as described in this policy.” The Athletic reported that the new guidelines were read by a team official who requested anonymity.

    The NFL’s new NFT and Crypto policies will exempt certain organizations

    However, for now, the NFL should allow teams to work with organizations that only hold cryptocurrencies and have nothing to do with the business of trading, as of now. Furthermore, the temporary ban and excludes cryptocurrency giants, such as FTX, who are allowed to continue making multi-million dollar deals with teams in the league.

    In addition, team officials confirmed that the latest policy allows sponsorship with, “companies whose primary business is providing cryptocurrency-related investment advisory and or fund management services, provided that such advertising sponsorship rights are limited to promoting the company’s corporate brand.”

    The NBA’s obsession with the NFT

    The NBA has been at the top of the hottest NFT releases. earlier in July, the NBA’s Sacramento Kings launched the first-ever pilot test of the Smart Ticket NFT Experience voucher. They revealed that this limited edition NFT ticket will come with exclusive perks and experiences. The Sacramento Kings signed a partnership agreement with blockchain organization Lava and Flow, which also sponsors the NBA Top Shot.Additionally, in April the NBA’s Golden State Warriors became the first major professional sports team to sell its non-counterfeitable tokens (NFT). The collection is commonly referred to as “Legacy” with digital memorabilia.

    The tokenization of sports arenas has become the ultimate mantra for teams and players to get rich. Fans of footballer Lionel Messi were recently excited by the launch of his NFT collection, which was named “Messiverse”. In addition, NBA’s LeBron James’ NFT was auctioned off for AED 269,000. Following the NBA star’s NFT, football superstar Cristiano Ronaldo’s NFT was sold for $289,920.

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