Riot Games is the latest well-known company to end its relationship with FTX following the latter’s demise.
Riot Games, the American company best known for creating the video game League of Legends, is said to have filed a motion to end its collaboration with FTX.
The failed cryptocurrency platform caused “reputational” damage to the gaming company and owes it more than $6 million.
According to GamesIndustry, Riot Games is willing to cancel its multi-million dollar agreement with the bankrupt cryptocurrency exchange FTX. The failure of its partner and the arrest of Sam Bankman-Fried (SBF) were cited as the primary reasons for the collaboration’s termination by the gaming giant:
“There is simply no way for FTX to cure the reputational harm already caused to Riot as a result of the highly public disrepute wrought by the debacle preceding FTX’s bankruptcy filing. FTX cannot turn back the clock and undo the damage done to Riot by its demise.”
Riot Games partnered with FTX last summer, promising to use the platform’s logo on marketing materials. The exchange was required to pay the gaming company $12.5 million in 2022, but it has only distributed half of that amount so far.
Riot Games is best known for creating League of Legends, also known as LoL. As SBF is a part of the game’s ecosystem, it has nearly 150 million active players.
The 30-year-old American was chastised by the crypto community for allegedly playing the game at the same time as his exchange crashed and filed for bankruptcy.
Mercedes AMG Petronas F1 Team ended its partnership with the exchange shortly after it declared bankruptcy. The trading venue’s logo was removed from the cars driven by Lewis Hamilton and George Russel.
The legendary NBA team, the Miami Heat, also ended its partnership with the platform. The team intends to rename its home stadium, which is still known as FTX Arena:
“Miami-Dade County and the Miami Heat are immediately terminating our business relationships with FTX, and we will collaborate to find a new naming rights partner for the arena.”
Golden State Warriors are another NBA powerhouse that has ceased all FTX marketing efforts. Edwin Garrison, an Oklahoma resident, has filed a lawsuit against the club’s main attraction, Steph Curry, as well as other celebrities such as Tom Brady, Naomi Osaka, and David Ortiz. He claimed that SBF used celebrities to promote his company’s products and services, causing significant losses to inexperienced investors.
