Cade Cunningham signed an endorsement deal with cryptocurrency platform BlockFi ahead of his rookie season. Just over a year later, they filed for bankruptcy.
The collapse of the FTX cryptocurrency exchange, and the general and extended decline in the value of the cryptocurrency that preceded it, is sending ripple effects throughout our economy and the NBA has not been immune.
FTX just purchased the naming rights to the Miami Heat arena in March 2021. A bankruptcy filing sent the Heat to a new sponsor. Crypto.com, which bought the naming rights to the Los Angeles Lakers a year ago laid off – laid off temporarily Almost half of their employees are in October and it’s not clear what the long-term future of that deal is.
Then there’s Cade Cunningham, enduring what could be a very large loss over fairly new cryptographic support. Prior to last season, he signed a deal with cryptocurrency platform BlockFi, and agreed to receive a signing bonus for the deal in Bitcoin. According to Forbes, “as part of the agreement, Cunningham will collaborate with BlockFi on educational videos, freebies, exclusive interviews, and other efforts” to raise awareness of the value of cryptocurrencies. “
Unfortunately, the partnership with Cunningham wasn’t enough, and it was, to keep BlockFi financially sound Announced yesterday They were declaring bankruptcy.
How much has Cade Cunningham lost by collecting his bitcoin payments?
It’s not clear exactly how much of that payment he got in bitcoin or if he’s still holding onto it. But assuming it was paid around September 1, 2021 and he didn’t do anything else with it, that payment is only due now 33.8% as it was before.
Cunningham certainly won’t be hurt financially just because of this one deal. He owes more than $30 million to the Detroit Pistons over the next three seasons. He also has lucrative endorsement deals on the books with Nike, Uptime, Panini American, and more.