Following FTX’s downfall, Riot Games is the most well-known company to discontinue its relationship with it.According to reports, the American firm Riot Games, well known for creating the computer game League of Legends, has filed a motion to discontinue its partnership with FTX.The gaming company has suffered “reputational” harm as a result of the defunct crypto platform, which also owes it over $6 million.
Is It too Late For FTX?
According to GamesIndustry, Riot Games is ready to end its multimillion-dollar contract with the insolvent cryptocurrency exchange FTX. There is simply no way for FTX to undo the reputational damage already done to Riot as a result of the highly public disrepute wrought by the debacle preceding FTX’s bankruptcy filing, according to the gaming giant.
The failure of its partner and the arrest of Sam Bankman-Fried (SBF) was cited as the primary reasons for terminating the collaboration. The harm done to Riot as a result of FTX’s bankruptcy cannot be undone in the past.Last summer, Riot Games partnered with FTX, promising to use the platform’s brand on all of its marketing materials. The exchange was required to pay the gambling business $12.5 million in 2022, but so yet it has only released half of that sum.
Riot Games is well known for creating League of Legends, often known as LoL. Due to SBF’s inclusion in its ecosystem, the video game has close to 150 million active players. The 30-year-old American received criticism from the cryptocurrency community for allegedly participating in the game when his exchange flopped and later declared bankruptcy.
The exchange’s association with Mercedes AMG Petronas F1 Team was terminated immediately after it sought bankruptcy protection. The Lewis Hamilton and George Russell vehicles no longer have the trading venue’s insignia.Miami Heat, a storied NBA franchise, has ended its partnership with the site. Miami-Dade County and the Miami Heat are taking immediate steps to terminate our commercial connections with FTX, and we will be working together to identify a new naming rights partner for the arena. The team intends to rename its home court, which is currently known as FTX Arena.
Golden State Warriors, another NBA juggernaut, stopped all FTX-related marketing efforts. Oklahoman Edwin Garrison launched a lawsuit against Steph Curry, the club’s top player, as well as other famous people including Tom Brady, Naomi Osaka, and David Ortiz. He said that SBF caused large losses to novice investors by using renowned persons to advertise the goods and services of his business.
