TL;DR Breakdown
- After Crypto.com, Terra also lands a sponsorship deal with Washington Nationals.
- LUNA community and investors actively support the new collaboration.
- The deal is worth $40 million over a duration of five years.
As a new trend in the blockchain world, crypto protocols are striking sponsorship and partnership deals with different sporting entities. The association of sports like Baseball and sporting events like MLB, NBA, and Super Bowl is increasing with the crypto space. This has encouraged several cryptocurrency networks to offer new deals and opportunities to their investors and consumers.
Previously, Crypto.com bought the naming rights for the popular stadium of Los Angeles, Staples Center. Other protocols like Coinbase and FTX have also launched deals worth millions of dollars to ensure their brand presence in different stadiums and sporting competitions. Terra (LUNA) has become the latest to join the same league of crypto networks. The protocol has announced a $40 million sponsorship deal with the Washington Nationals of Major League Baseball.
Terra LUNA and Washington Nationals make official announcement
The proposal for the sponsorship was set forth by the co-founder of Terraform Labs, Do Kwon, who obliged the Terra community to raise funds to partner with the Washington Nationals. At the time, however, the team’s name was not disclosed, which resulted in several speculations on which team Terra would sponsor.
On Wednesday, the air was cleared as Terra announced its first-ever partnership with the Washington Nationals. Confirming the sponsorship, the Washington Nationals tweeted the development, acknowledging Terra as one of the largest DAO in the crypto industry and a groundbreaking partner for the team.
The details of the agreed proposal
The Terra Community Trust (TCT) will inject nearly $40 million into this partnership. The trust will be responsible for future blockchain and crypto applications and their branding. Moreover, a digital series will also be launched for the team’s social media platforms. It will add the logos of Terra and its signs in Nationals Park. The Nationals Club behind the home plate will also be renamed to Terra Club.
In addition to this, TerraUSD (UST) will also be accepted as a payment system at Nationals Park from the next season. When Do Kwon started the fund on January 31, he urged the LUNA community members and investors to pay $38.15 million. The fund will cover the $7.5 million annual fees for five years. It will also cover the $650,000 needed for the construction and renovation of the stadium.
While commenting on the development, Do Kwon said, “by approving this sponsorship deal, the community has a new way to engage and educate the public, including the policymakers doing important work in Washington, D.C., about decentralized money and the burgeoning technology that underlies it.”
The deal with Washington Nationals has received a great deal of response from consumers and investors. Also, the LUNA community members anticipate the project’s huge success in the near future. LUNA crypto token has also experienced significant growth over the last year. It has a market cap of over $22.5 billion and stands at number 9 in the list of top cryptocurrencies. Thus, the coin is expected to have a positive impact in terms of its valuation in light of the new sponsorship deal. The LUNA token might have a much-needed breakout from its bearish pattern of the last couple of weeks.
