During FTX's liquidity crisis, the SBF attempted to initiate a deal with Taylor Swift.
The SBF proposed a $100 million promotion deal to Taylor Swift.
Not just SBF but Claire Watanabe also trying to secure sponsorship deals.
Filed for bankruptcy in the second week of November due to a liquidity crisis triggered by market circumstances.
As a result of the FTX meltdown, the crypto market began to fall into a bearish trend, with prices dropping and numerous FTX-linked exchanges filing for bankruptcy or on the edge of doing so.
The US and Bahamas regulators began investigating the exchange after reports of mismanagement of user funds emerged. In addition, several litigations were also filed against the FTX exchange.
In line with this, one lawsuit came with celebrity endorsement charges, which names several prominent celebrities and athletes for deceiving people towards investing in cryptocurrency via FTX.
However, a recent report indicates that popular pop star Taylor Swift was also on the verge of signing a sponsorship deal with FTX for more than $100 million right before the exchange went bankrupt.
Taylor Swift, the popular pop diva, was also on the list of FTX for the exchange's brand endorsement. The FTX proposed a $100 million deal for Swift that includes the promotion of NFT and platform services.
The conversations with Swift are said to have started in the fall and ended in the spring. However, Swift reportedly refused and did not agree to an endorsement deal with FTX.
The FTX then pitched several other small partnership deals to Swift, one of which was reportedly related to her "Eras Tour," and would've involved a ticketing contract including non-fungible tokens.
By refusing to sign the deal, Taylor saved herself from the current FTX investigation. In addition, the "Eras Tour" on-sale event was also a massive flop— think if NFTs had been involved.
But one thing is certain: the SBF was keen on spending customers' funds to the utmost extent possible. That's why he spent millions of dollars on brand endorsement while also using the funds for other purposes as well.
Meanwhile, Sam Bankman-Fried wasn't the only high-ranking exec at FTX: another executive, Claire Watanabe, was also spending hard to secure the pop star sponsorship.
What do you think will happen next in the FTX investigation, and how will it further affect the crypto market? Share your thoughts in the comment section below.
Read also: Spain Seeks Wholesale CBDC
