According to reports, defunct cryptocurrency exchange FTX was close to finalizing a $100 million endorsement agreement with Taylor Swift before it went bankrupt.
High-profile endorsement partnerships with celebrities and athletes made FTX famous before the company’s demise.
It was speculated that the failed deal would have featured a possible tour sponsorship as well as a ticketing system that would have utilized digital certificates in the form of non-fungible tokens.
According to those familiar with the matter, Swift never even considered agreeing to advertise the exchange. However, given the caliber of celebrities Fried has attracted to the trade, the news that he is seeking a deal with the artist is not shocking.
According to one FTX worker, the sector was experiencing a financial crisis, and FTX management pleaded with the 30 year old former CEO to stop spending hundreds of millions of dollars on celebrity endorsements.
Some of the executives at FTX who wished to maintain their confidentiality have asserted that the enormous expense of the arrangement with Swift would have been catastrophic for FTX.
FTX Enlisted Several High-Profile Ambassadors
The company’s strategy of enlisting celebrities as brand ambassadors is nothing new. In March of this year, Osaka accompanied seven-time Super Bowl champion and NFT marketplace founder Tom Brady, and NBA star Stephen Curry as an FTX ambassador and both are facing regulators.
In addition to being ordered to appear in court on February 2 to answer the claimants from a Texas regulator that it sold unregistered securities products through its yield-bearing business, Bankman-Fried also faces the possibility of criminal penalties and years in prison.
However, this has not stopped him from participating in interviews or maintaining an active presence on social media.
Bankman Fried recently commented:
“I don’t see what good is accomplished by me just sitting locked in a room pretending the outside world doesn’t exist.”