The NFL’s Player Association, the NFLPA, is reported to have lost a ridiculous amount of money, somehow, due to the collapse of the NFT market.
The association’s latest financial report shows it’s unable to collect what accounts for 25 percent of its annual commercial revenue. And a piece published by The Athletic is claiming that the outstanding sum, a whopping $41.8 million, is linked to the failure experienced by the failed NFT craze
“As of Feb. 28, 2023, there is uncertainty surrounding collection of certain accounts receivable from OneTeam Partners, LLC,” the NFLPA reported earlier this year. “Therefore, an allowance has been recorded as of that date for those amounts.”
How The NFLPA Lost Millions Because Of Crypto
OneTeam Partners has had a successful working relationship with the NFLPA in recent years, as well as with all of the major American leagues. However, they expected around $41 million to go to the NFLPA when NBA Top Shot creators Dapper Labs and DraftKings’ Reignmakers were looking to renegotiate licensing deals, with a total of $60 million anticipated.
The once-thriving market that saw Justin Beiber purchase an NFT for a shocking $1.3 billion has been trending downward since 2022, with sales down by over 90 percent in almost every metric. And it appears the NFLPA has suffered a massive hit as a result.
While the association is in a great position as its assets increased from $1.003 billion to $1.055 billion over the past financial year, $41 million is a lot of money to lose.
