• Miami-Dade has successfully annulled its partnership with FTX following the company’s collapse in November.
• A federal judge ruled that the naming rights agreement between both parties on the FTX Arena be terminated immediately.
• Efforts are underway to find another naming partner for the arena as soon as possible, with the ground being referred to as the Miami-Dade Arena in the meantime.
The county of Miami-Dade, home to the NBA team Miami Heat, has recently taken legal action to annul its partnership with FTX, a cryptocurrency exchange that collapsed in November. The county had signed a 19-year agreement in June 2021 with FTX to become the naming-rights partner of the Heat’s home arena. However, following the alarming revelations on the finances of FTX and the criminal fraud allegations levied against its CEO Sam Bankman-Fried in November, Miami-Dade immediately took legal action requesting to sever their business relationship with the now-bankrupt company.
On Wednesday, January 11, the request was finally approved, with a federal judge ruling that the naming rights agreement between both parties on the FTX Arena be terminated immediately. This means that all representation of the FTX brand has been removed from the arena. The Miami-Dade leadership and the Heat basketball team released a joint statement indicating that they are aggressively searching for a new naming partner for the arena as soon as possible. In the meantime, the ground will be referred to as the Miami-Dade Arena.
The annulment of the partnership between Miami-Dade and FTX is yet another blow to the embattled crypto exchange. The collapse of the company has been a source of controversy in the crypto world, with many calling into question the practices and operations of FTX. The company had been rapidly expanding in the last year, signing numerous sponsorship deals and partnerships with high-profile organizations. Unfortunately, it seems that its meteoric rise has come crashing down with the news of its collapse in November.
The termination of the partnership between Miami-Dade and FTX serves as a stark reminder of the risks associated with crypto investing. While crypto investments can potentially yield high returns, it is important to be aware of the risks involved and to do thorough research into any potential investments. In the case of FTX, investors have unfortunately been left in the lurch due to the company’s collapse.
For Miami-Dade, the annulment of the partnership with FTX will no doubt be a setback. However, the county is already working to find a new naming partner for the arena and is confident that they will be able to do so in the near future. Until then, the arena will continue to be referred to as the Miami-Dade Arena and will remain a symbol of the county’s resilience even in the face of adversity.