For the first time in the league’s history, Premier League clubs are beginning to accept Bitcoin as payment for sponsorship deals. Seven Premier League clubs have entered into sponsorship deals which will see them paid in Bitcoin.
Tottenham Hotspur, Leicester City, Newcastle United, Southampton, Cardiff City, Brighton, and Crystal Palace are the seven teams with new Bitcoin holdings. As a part of the deal, the seven clubs now have cryptocurrency wallets and are officially on the cryptocurrency trade market.
It is currently unknown what the clubs’ exact plans are in regards to the new currency, but it is a clear sign that the football world is entering the cryptocurrency space. It is only a matter of time before the European giants begin investing in Bitcoin and cryptocurrency in order for them to diversify their holdings.
These clubs are using the new exposure to cryptocurrency to learn more about how Bitcoin and other digital currencies might impact the football transfer market and day-to-day club management. Transfer values have exploded in recent years, and it is clear the nature of money in football is fundamentally changing.
Bitcoin blasted into the public’s consciousness in a big way in late 2017 when it peaked around £15,000. It has since stabilized, but the mass awakening to the potential of cryptocurrency has stretched across many industries, and it has now reached the football world.
Tottenham Hotspur might look to move the funds into their transfer kitty in order to strengthen their side. Ajax’s Frenkie de Jong has made waves in both the Netherlands and Champions League play, and he is seen as a top target to strengthen Spurs’ midfield. Tottenham will have to reach into their pockets and spend in January in order to rest their tired players and make a serious push at the Premier League title.
The other clubs could use the cryptocurrency to solidify their position in the Premier League in order to ensure their safety. Leicester City may have been the champions in the 2015-2016 Premier League season, but they will be fighting for survival along with the remaining five teams with cryptocurrency wallets.
The influx of money into the Premier League has massively increased the competitiveness at all levels. Newly promoted Wolverhampton spent approximately £65 million on transfers upon reaching the Premier League, and clubs need to spend money on players in order to stay in the top flight.
Newcastle United has been struggling under owner Mike Ashley, and decorate manager Rafa Benítez has not been able to acquire the players he wants. Ashley may be interested in the short-term success of Bitcoin, and his club’s sponsorship deal may not reap full rewards if he does not reinvest in the club.
Unfortunately, it looks like Benítez will have to bargain hunt in January if he hopes to improve a squad that looks to be heading toward a relegation battle. Leicester City was able to win the Premier League on a shoestring budget, but their accomplishment looks all the more impressive as the Top 6 continues to pour money into buying new players.
The profile of cryptocurrency in the Premier League will likely grow as clubs look to attach their brand to the growing market. Clubs like Manchester United and Arsenal may have money to burn, but they have proven they are more interested in making as much money as possible.
If the seven Premier League clubs find their foray into cryptocurrency successful, then we will likely see other clubs joining the bandwagon and attempting to unlock the potential of cryptocurrency and blockchain. With the rapid change in financial football, it is no surprise that some Premier League clubs are looking to bank on a new phenomenon.