Professional esports organization Team SoloMid (TSM) (formerly TSM FTX) has immediately cancelled its $210 million endorsement deal with the defunct FTX crypto exchange.
The group said that the choice had been taken after “watching the emerging scenario and internal discussions”.
We’ve suspended our partnership with FTX effective immediately. pic.twitter.com/u8vQSWnAbX
— TSM (@TSM) November 16, 2022
The esports team stated at the time of the $210 million contract that it would dedicate its new resources to all parts of the world by establishing new offices in Asia, Europe, and South America. The $210 million contract was signed in June 2021, which led to the renaming of TSM to TSM FTX.
Additionally, TSM invested $1 million in FTX’s native token, FTT, which was given to staff and players.
TSM tweeted on November 13 that the team was consulting with its legal counsel in the wake of FTX’s bankruptcy last week to determine the “best next steps to protect [their] team, staff, fans and players.”
TSM recently announced that the FTX trademark would be removed from the organization’s official name, team and player social media profiles, and uniforms as per termination of their agreement.
TSM used the opportunity to convince its investors that, even without FTX’s backing, its balance sheet is still stable and will remain so for the near future.
TSM is best recognized for its involvement in League of Legends, one of the most prominent competitively played multiplayer online battle arena (MOBA) video games. Dota 2, Apex Legends, and Valorant are the other popular online games that TSM fields players in.
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