Team SoloMid (TSM) is the largest and most valuable esports organization in the world, especially known in League of Legends. They are also active in Valorant. TSM has sold its name to a cryptocurrency exchange in a huge advertising deal. However, Riot is restricting the deal.
This is the situation:
- According to Forbes magazine, Team Solo Mid is the most valuable esports organization in the world. Its value is estimated at 410 million US dollars. In the USA, TSM’s LoL team is a legendary team, with great players such as Bjergsen and Doublelift having played here over the years. Furthermore, TSM has signed great content creators like Myth.
- The team has now raised 210 million US dollars for a 10-year deal with the cryptocurrency trading site FTX. The deal stipulates that TSM will change its name to TSM FTX .
- However, Riot prohibits TSM from appearing under this name in the LoL league LCS or other Riot Games events in North America.
TSM is now called TSM FTX, and they are getting paid handsomely
This is the deal: In a press release dated June 4, it states that FTX Trading Limited and West Realm Shires Services Inc have entered into a “multi-year deal worth 210 million US dollars” with TSM. As part of this deal, FTX secures the naming rights to TSM, which will now be known as “TSM FTX”.
In addition to the 210 million US dollars, each player and every employee of TSM will receive one million US dollars in FTT, the cryptocurrency of FTX.
TSM says they want to invest the new financial resources further into gaming and esports over the next 5 years. They plan to open offices in Asia, Europe, and South America. Furthermore, they want to promote infrastructure and talent development.
The CEO of TSM, Andy “Reginald” Dinh, explains in the press release how great and innovative he finds the CEO of FTX, Sam Bankman-Fried, and how important the deal is for TSM.
TSM explains the deal to its fans in a crazy Ant-Man-style video
This is how to sell it to the fans: In a video, they parody the character of “Luis” (Michael Peña) from the Marvel films “Ant-Man” and his unique storytelling style (via youtube).
The gag is that a complex story is told in nested flashbacks, where all characters gesture wildly, while the narrator speaks over it in his own voice, each character sounding just like the narrator and behaving atypically.
In the end, the story boils down to one single sentence: “We are changing the name.”
In the video, some of TSM’s stars and players make cameo appearances: for example, you can see “PowerofEvil”, the German midlaner of TSM.
Riot prohibits new name at official events
This is what Riot Games says: The operator of LoL and Valorant, Riot Games, has made its position on the deal clear in a statement.
The esports head for North America, Chris Greeley, says to the US site Dotesports:
“While TSM’s sponsorship deal with FTX does not violate the sponsorship rules of the LCS; a crypto exchange falls under the category of sponsors that have restrictions. Therefore, TSM cannot use its new name and FTX advertising on jerseys in the LCS or at other esports events from Riot Games in North America.”
Chris Greeley
This is how TSM reacts: The CEO of TSM says that the deal would exclude the use of the name and jerseys in the official streams of Valorant and League of Legends. But FTX remains the sponsor of the LoL team and the Valorant teams of TSM.
The players will therefore wear the new name in their own content, live streaming, on social media platforms, and at personal events.
This has more visibility than the official stream of Riot Games.
Cryptocurrencies are currently among the biggest influencers in gaming and also seem to be a huge topic among esports folks:
Twitch streamer loses 8 million dollars, yells at viewers who advise him against gambling
