FC Barcelona’s Controversial Sponsorship Deal
FC Barcelona has come under fire for its recent $22 million, three-year sponsorship agreement with Zero Knowledge Proof (ZKP), a relatively obscure cryptocurrency firm based in Samoa. Critics are raising eyebrows, questioning the wisdom of associating with such a startup.
Xavier Vilajoana, a former club director, voiced his concerns, describing this partnership as a sign of financial “desperation.” He pointed out “red flags” associated with ZKP, labeling the whole situation “very worrying” in comments made to Financial Times.
Interestingly, Vilajoana noted that when the partnership was announced, ZKP’s X account had a mere 33 followers, which raises doubts about the company’s credibility. He also criticized the firm’s ties to Andrew Tate, a polarizing influencer and former kickboxer, who recently endorsed ZKP on his social media, further complicating the narrative.
“It seems like a bad joke, but unfortunately it’s true,” he remarked, capturing the sentiment of many fans.
Adding to the club’s issues, it reportedly carries debts totaling 469 million euros (around $542 million), suggesting serious financial strain.
ZKP introduced its social media channels and white paper in early November. Its website, however, lacks transparency regarding ownership and financial structure, merely stating that it operates under Samoan law. Currently, the firm is in the midst of its first coin offering, even as the cryptographic technology that inspires its name has been around since the early ’90s.
Financial Times pointed out difficulties in finding credible public information regarding ZKP’s executives, including their blockchain lead, Jeff Wilke.
In an official response, FC Barcelona stressed that it has “no connection whatsoever with the company’s token” and did not discuss its existence during sponsorship negotiations. “The club is not responsible for or involved in the issuance or management of this token, nor does it use any associated technology,” they emphasized.
Meanwhile, Harry Halpin, CEO of a blockchain privacy company, expressed skepticism towards claims from companies like ZKP that suddenly appear and promise sophisticated privacy solutions. “I think there are probably only about 50 programmers alive who can actually understand production-ready zero-knowledge proof systems for math and code,” he remarked, suggesting a lack of expertise in the industry.
He added that zero-knowledge proofs don’t automatically ensure anonymity, as IP addresses might still be exposed, highlighting the role of “mixnets” in enhancing privacy.
Attempts to get a comment from ZKP regarding the backlash were met with silence. However, the company did post on social media, claiming, “No LinkedIn. No pitch deck. Just a new blockchain, a proof pod, and 100% self-funding,” suggesting a disdain for traditional media engagement.
Growing Trend in Soccer Sponsorships
In recent years, collaborations between European soccer clubs and virtual currencies have surged, becoming almost routine.
According to a recent analysis, more than a third of teams in Europe’s top five leagues have aligned with cryptocurrency or trading firms this season, with the number rising to 70% in the English Premier League.
Trading platform eToro has partnered with eight clubs, while exchanges like Bitpanda and Kraken have secured multiple deals with major European teams.
Still, some clubs have faced challenges; for example, Sporting Lisbon and Spezia recently ended their links with the Turkish cryptocurrency group Bitci.com, citing issues with payment compliance.
