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TEXXR

Chronicles

The story behind the story

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As crypto tokens fall, FTX and Crypto.com will run Super Bowl ads, seeking new customers; research shows $112.9M+ has been spent on crypto TV ads since 2020

It's a testing time for crypto exchanges to be making their Super Bowl ad debuts.  —  Recruiting new users can be simple when prices are skyrocketing.

Bloomberg

Context & Ripple Effects

FTX and Crypto.com were using marquee sports advertising to pursue customer growth even as falling token prices made organic retail demand harder to sustain. The strategy quickly became an industry-wide Super Bowl push: Coinbase, FTX, eToro and other crypto apps gained App Store visibility after the game.

The campaign was part of a broader race for mainstream recognition rather than an isolated media buy. Later coverage documented more than $2.4 billion in sports-marketing commitments by major crypto companies, while Crypto.com's World Cup sponsorship was later overshadowed by FTX's collapse.

First-order effects

  • FTX and Crypto.com commit high-profile acquisition spending at a moment when declining token prices make new-user recruitment more difficult.
  • The Super Bowl placements put the exchanges directly alongside Coinbase and eToro in a concentrated contest for mobile-app downloads and brand attention.

Second-order effects

  • Crypto advertisers that do not buy comparable tentpole exposure face a sharper visibility gap after the post-game app-ranking surge among Super Bowl advertisers.
  • Sports sponsorship and television become competing channels for exchange marketing budgets, increasing pressure to demonstrate that costly brand campaigns convert into durable users.

Third-order effects

  • If exchanges continue to rely on mass-market sports media for legitimacy, customer acquisition increasingly favors firms able to fund national campaigns rather than smaller trading platforms.
  • The later pullback in crypto advertising as markets declined suggests that this marketing model is tightly coupled to market cycles, making sponsorship commitments a potential fixed-cost burden during downturns.

The trend: Crypto exchanges are using elite sports media to turn volatile-market attention into mainstream brand legitimacy and app acquisition.

Discussion

  • @katherinemiller Katherine Miller on x
    “IEG expects spending by crypto companies on sports sponsorships in North America to total more than $160M this year.” https://www.wsj.com/...
  • @joemccann @joemccann on x
    The normalization of crypto continues. https://www.wsj.com/...
  • @ndrew_lawrence Andrew Lawrence on x
    at least half the super bowl commercials are gonna be crypto or nft related so just prepare yourself mentally now
  • @krangtnelson @krangtnelson on x
    this year's super bowl ads are going to be the worst we've ever seen. all the brands going to do nft's. pepsi is going to have a vaxxer shares a can with an anti-vaxxer in the metaverse. they're going to bring back austin powers to say “crypto is my bag, baby”. nobody wants this
  • @cz_binance @cz_binance on x
    Advertising is good. Let's do it responsibly. » Super Bowl 2022 is being called ‘Crypto Bowl’ as upstart finance firms spend millions on T.V. ads | Fortune https://fortune.com/...
  • @coinbureau @coinbureau on x
    Apparently we are going to see a lot of #crypto related Super Bowl ads this weekend. Millions of viewers seeing multiple commercials during lower liquidity weekend hours. Could this lead to a bump in the market? 🤔
  • @silvermanjacob Jacob Silverman on x
    The casinos desperately need more customers and will pay a lot to acquire them. https://www.bloomberg.com/...