Smart Play: Athletes Pivot to Safer Crypto Endorsements to Dodge Scandal Fallout

Gone are the days of reckless crypto shilling—today's athletes are rewriting the endorsement playbook.

Risk Mitigation Takes Center Stage

Top-tier stars now demand ironclad contracts with compliance checks, transparency clauses, and zero tolerance for pump-and-dump schemes. They're bypassing sketchy tokens for established projects with real utility—no more gambling their reputation on meme coins that crash faster than a rookie's draft stock.

The Financial Shield

Legal teams now scrutinize white papers, tokenomics, and regulatory standing. Athletes insist on equity-like structures instead of flat fees—aligning long-term incentives while avoiding the SEC's crosshairs. Because nothing tanks a brand faster than getting tagged in a class-action lawsuit alongside a bankrupt crypto exchange.

Bottom Line: Trust Sells Better Than Hype

The new gold standard? Partnerships that actually deliver value—not just vapid influencer posts. Because let's be real: in an industry where 'rug pull' entered the mainstream lexicon, due diligence is the only MVP that matters. (And frankly, it's about time finance stopped treating celebrity endorsements as its personal get-out-of-jail-free card.)

Athletes are prioritizing safe crypto endorsement deals

The development comes amid recent scandals that have trailed exchanges in the past, with firms like FTX and Binance serving as examples. While Binance remains a household name in the crypto industry, its popularity hasn’t come without a few issues. According to BTCC, which just signed NBA star Jaren Jackson Jr. as its ambassador, crypto firms are also using the athletes to protect their credibility.

Socol mentioned that partnerships like that are no longer about crypto firms gaining popularity, highlighting that crypto and several digital assets have made sure the world knows a thing or two about the digital asset space. He mentioned that most endorsement deals are just about athletes choosing to align with brands that promise stability and other benefits in addition to the financial incentives.

The need for research is something that has become a topic worth discussing in the past few years. According to a 2024 report from CoinGecko, there was a 38% drop in crypto and sports sponsorships, dropping sharply from its peak in 2021. The report noted that one of the major reasons why there has been a drop is the state of the market. In addition, athletes are demanding transparency from crypto firms, asking experts about everything they need to know in terms of legal and financial aspects before signing.

Digital assets impact endorsement deals

Some athletes are also choosing to take their payments in Bitcoin, seeing the asset as the best among all digital assets in the industry. They also see it as the perfect hedge against inflation, something financial experts WOULD have told them time and again. Also, crypto sponsorships have evolved, with firms now adding fan engagements and other metrics across their social media into the contracts. This way, the athletes use their popularity to drive in the crowd, hoping that the firm does better and protects their integrity.

Reports also claim that this year has seen athletes seek evidence of firms following the needed regulatory guidelines and approvals before choosing to do business with them. In other cases, crypto firms that boast high-profile players provide the evidence others need to commit to them. For instance, Cristiano Ronaldo’s deal with Binance makes him a face of the brand across his social media, a MOVE that could lure others to sign with the brand.

However, the challenges in the sector remain, with factors like the decline in the general crypto market affecting endorsement values. While some athletes prefer to be paid in cash, most exchanges would prefer to pay them in digital assets, and a drop in the price of the asset might affect the financial package of their endorsement deals. Meanwhile, the consensus remains that these firms will be looking to maintain user trust, which would translate into these athletes trusting their brand enough to commit to them.

Get up to $30,050 in trading rewards when you join Bybit today