Crypto.com buys naming rights at Staples Center in Los Angeles – Sportico.com

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Staples Center in Los Angeles will soon be renamed Crypto.com Arena, as part of a 20-year deal worth more than $ 700 million, according to a person familiar with the deal. The new name becomes official on Christmas Day, when the venue hosts the NBA LA Lakers-Brooklyn Nets contest.

The arena is owned and operated by AEG, which also owns and operates the NHL Los Angeles Kings, and is long-term home to the Lakers, who announced last May that they had signed a lease to stay there until 2041. The deal makes Crypto. com, an official cryptocurrency platform partner for the Lakers and Kings.

The other current major tenants, the LA Clippers, are building a new arena near Inglewood and are expected to leave by 2024.

Staples Inc. bought the naming rights when the building opened in 1999 for $ 116 million over 20 years, and in 2009 extended that deal to a lifetime contract. But shortly before the pandemic in 2019, AEG bought back the rights to resell the building’s name.

Crypto.com is a company dedicated to converting assets into cryptocurrency and is starting to expand its influence in sports, signing a recent 10-year fight kit contract with Endeavor-owned Ultimate Fighting Championship, which would be worth $ 175 million. The crypto company will have a branded presence on all UFC combat clothing worn by athletes and training staff during competitions. He also owns the rights to the UFC cryptocurrency platform.

Crypto.com’s name on the arena puts it at the epicenter of the downtown LA Live campus.

“It’s the perfect match,” said Dan Beckerman, president and CEO of AEG, in a phone interview. “They were looking for a one-of-a-kind brand platform. We were looking for an innovative and progressive company to help us shape the course of the arena. LA is still about what’s next.

Crypto.com did not return a phone call for comment on the naming rights deal on Tuesday night. In a press release, Crypto.com Co-Founder and CEO Kris Marszalek said, “We are very excited to partner with AEG and invest for the long term in this city, starting with Crypto .com Arena in the heart of downtown.

FTX, another cryptocurrency firm, recently bought the naming rights to American Airlines Arena in Miami, home to the NBA Heat for 19 years, for $ 136 million. FTX also bought the naming rights to the Cal Berkeley football stadium for 10 years for $ 17.5 million.

Both changes were instituted in time for the current season.

Staples, an office supplies retailer, has been at risk since 2016, but for now it’s relatively stable. In 2017, well before the pandemic, Staples closed 4.5% of its 1,700 stores.

The Lakers won six of their 17 NBA titles playing in an arena that cost $ 375 million to build when it opened on October 17, 1999, and the Kings won both their Stanley Cups playing there.

Scott Soshnick contributed to this report.

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