The National Football League (NFL) has temporarily put on hold crypto sponsorships and selling of NFTs (Non-Fungible Tokens) in a document that bans its franchisees from selling their NFTs or signing partnerships with crypto trading platforms. A report in the Athletic has given more clarity as regards the same by stating that clubs are not allowed to sell or otherwise allow within the media controlled by the club any advertisement specifically for or by digital asset, blockchain or block Chain Company, except if otherwise allowed in the NFL released document.

Contradictory move

The move is however not in line with the NFL’s moves since the beginning of this year with NBA Top Shot.  In a job posting, the NFL has stated that it is looking for a Director of Emerging products who possesses knowledge of cryptocurrency, non-fungible tokens, and blockchain and has an intellectual property licensing and sports betting background. This suggests that the biggest league in America is merely bidding its time. Tom Brady, a mega-superstar in the NFL has already entered the blockchain space.  The NFL also has an advisory panel that is expected to explore blockchain usage in the day-to-day operations of the NFL and NFT sales have already garnered $700 million by May 2021 and quarter three momentum is already there.

Surprise move

Even though the information to the media outlets was provided by an unnamed source, the move has come as a surprise. Tom Brady teamed up with DraftKings Marketspace to launch his dedicated NFT and blockchain platform Autograph. The move could reflect the usual cautionary approach of the NFL when dealing with new technology. With cryptocurrency exchanges undergoing considerable scrutiny in the United States, it is possible that the NFL is treading cautiously, similar to the cautious attitude taken earlier to sports betting. However, it is also possible that the NFL is simply bidding time with respect to cryptocurrencies.

Way Forward

It is not going to be possible for the NFL to stay out of the NFL space altogether; especially since teams across, MLB, NHL, and NBA are already welcoming the blockchain innovation and NFTs are already proving to be a new channel to make money.