FC Barcelona, one of the world’s most famous soccer clubs, has come under scrutiny after signing a $22 million sponsorship deal with Zero-Knowledge Proof (ZKP), a relatively unknown blockchain company registered in Samoa. The deal, spanning three years, has raised eyebrows, with critics citing financial desperation and questionable partnerships.
Concerns Over FC Barcelona’s Financial Decisions
The Catalan club is reportedly grappling with severe financial pressure, carrying a debt of €469 million ($542 million). Former FC Barcelona board member Xavier Vilajoana openly criticized the ZKP deal, describing it as a sign of the club’s financial distress. Vilajoana highlighted ‘red flags’ in ZKP’s credentials, including its minimal online presence and alleged connections with controversial influencer Andrew Tate.
In a tweet, Vilajoana noted that ZKP’s X (formerly Twitter) account had only 33 followers at the time of the sponsorship announcement. Tate, meanwhile, endorsed ZKP on his social media, a post later shared by ZKP on its Telegram platform, adding to concerns about the partnership’s legitimacy.
What Is Zero-Knowledge Proof?
Zero-Knowledge Proof technology has been around since the 1990s. While it holds potential in privacy and blockchain applications, experts caution against companies claiming expertise without transparent credentials. ZKP’s website and social media provide little information about its ownership or funding, fueling skepticism. The firm is reportedly conducting its initial coin offering (ICO) amid these lingering doubts.
Harry Halpin, CEO of Nym Technologies, emphasized the complexity of implementing zero-knowledge proofs effectively. He stated, “Only about 50 programmers globally are capable of creating production-ready zero-knowledge proof systems, and most already work for reputable companies.”
FC Barcelona Clarifies Sponsorship Terms
Amid mounting criticism, FC Barcelona issued a statement distancing itself from ZKP’s token issuance and associated activities. “The club has no responsibility for, or involvement in, the issuance or management of this token, nor does it use the associated technology,” the statement read. Barcelona stressed that the sponsorship solely concerns marketing and brand partnership efforts.
Crypto Sponsorships in Soccer: A Growing Trend
Crypto companies have increasingly entered the soccer sponsorship space. Over 30% of teams across Europe’s top five leagues are partnered with cryptocurrency firms, with the figure reaching 70% in the UK’s Premier League. Despite the growing trend, partnerships have not always gone smoothly. For instance, clubs like Sporting Lisbon and Spezia terminated deals with Turkish crypto firm Bitci.com over payment issues in 2022.
Brands entering such partnerships must balance financial opportunities with potential reputational risks. For FC Barcelona, the ZKP deal serves as yet another reminder of the scrutiny that comes with such high-profile arrangements.
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What do you think of FC Barcelona’s latest sponsorship deal? Share your thoughts in the comments below, and stay tuned for updates on this developing story.
