Was Odell Beckham Jr.’s Tweet a Bad Sign for the Giants?
Andre Iguodala is among a number of NBA players involved in the cryptocurrency industry, but his losses of at least $1 million following the FTX collapse should highlight the risks associated with the industry
Many professional athletes have ventured into the still somewhat mysterious realm of cryptocurrency. The NBA in particular has attracted several superstars to sign sponsorship deals with various crypto companies.
Perhaps due to their proximity to Silicon Valley, the Golden State Warriors players have closer ties to many crypto industry players than other teams. Earlier this year, Klay Thompson and Andre Iguodala agreed to receive part of their salary in Bitcoin, the original and still the primary vehicle for digital currency trading.
The NBA and the FTX are collapsing
FTX is a cryptocurrency exchange that has grown in prominence in recent years. It has invested heavily in advertising over the past year and has used the NBA to accelerate that growth. Steph Curry supported the trading platform. FTX also paid approximately $135 million for the Miami Heat arena naming rights.
However, as markets have generally cooled over the past year, cryptocurrencies have been hit particularly hard. And many of the startups that invested heavily in the boom years were left floundering as digital currencies went bust.
FTX’s collapse, marred by scandal and negligence, has thrown the NBA into chaos. Not only has it called into question the Heat’s stadium rights, but it has also thrown a spotlight on stars like Steph Curry, who are closely associated with the exchange.
Andre Iguodala on cryptocurrency losses
Huge fortunes were wiped out around the world in the wake of the crypto meltdown. However, recent reports said that Andre Iguodala, who received part of his salary in Bitcoin, lost at least $1 million this season.
He’s not the only pro to get his salary this way, so it’s likely similar incidents have happened across the NBA.