FTX Reportedly Pulls Out of Sponsorship Deal with Taylor Swift
Crypto exchange FTX, which recently filed for bankruptcy, was in talks to sign musician Taylor Swift as a tour sponsor. However, according to sources, it was FTX that ultimately backed out of the deal after Swift had already signed. This decision left Swift’s side “frustrated and disappointed.” The exchange’s former CEO, Sam Bankman-Fried, reportedly waited weeks before responding to the signed agreement. This news comes in the wake of FTX’s liquidity crisis and allegations of misusing customer funds. Previously, it was reported that Swift had withdrawn from the deal due to concerns about unregistered securities. FTX also had discussions with Katy Perry regarding a potential sponsorship deal, but no agreement was reached.
Key Points:
- Taylor Swift signed a proposed tour sponsorship deal with FTX worth up to $100 million.
- FTX CEO Sam Bankman-Fried backed out of the deal after Swift had already signed, leaving Swift’s side frustrated.
- Bankman-Fried waited weeks to respond to the signed agreement.
- FTX has faced a liquidity crisis and allegations of misusing customer funds.
- Swift had previously withdrawn from the deal due to concerns about unregistered securities, but this claim has been disputed.
Hot Take:
FTX’s decision to pull out of a sponsorship deal with Taylor Swift reflects the chaotic state of the exchange and its mismanagement of funds. Swift’s frustration with the late change in plans is understandable, considering the extensive negotiations that took place. This incident further tarnishes FTX’s reputation and raises questions about its ability to fulfill commitments. It also highlights the challenges faced by celebrities in navigating the world of cryptocurrency sponsorships. Overall, it serves as a cautionary tale for both crypto startups and high-profile figures considering partnerships in the industry.