American organization TSM has terminated partnership with the cryptocurrency exchange FTX after it filed for chapter 11 on November 11, official TSM tweeted
FTX’s fall has been vertical
The Bahamas-based company was the third largest crypto exchange by volume with over 1 million registered users. On November 9, an article by CoinDesk revealed that FTX’s partner firm Alameda Research had a significant amount of assets in FTT, FTX’s native token.
It said that there were $5.1 billion worth of FTT tokens in circulation, and that Alameda’s balance sheet held $3.66 billion of “unlocked FTT”, $2.16 billion of “FTT collateral”, and $292 million of “locked FTT”. Both companies are owned by billionaire Sam Bankman-Fried.
The revelation triggered an exodus from FTX and FTT. Binance, the largest cryto exchange, quickly announced the sale of all its FTT tokens and withdrew a rescue bid. Within 2 days, DTX has filed for Chapter 11 bankruptcy protection in Delaware after being unable to liquidate.
TSM had a $210 million sponsorship deal with FTX
The NA LCS itself also had a 7-year deal with FTX which further showcase the reputation and reach of the crypto company prior to its collapse.
In the aftermath TSM has also dropped its LoL Academy roster. This is another blow to the NA org after being embroiled in numerous controversies regarding its owner and CEO Reginald and team coach scamming their players.
