With Voyager Digital filing for bankruptcy, their deals in sports activities are put at risk. Many crypto-focused companies are on the verge of bankruptcy due to the decline in the cryptocurrency market. Voyager Digital, which previously collaborated to increase brand awareness and drive adoption of cryptocurrencies, recently suspended withdrawals and filed for bankruptcy.
Uncertainties about Voyager Digital’s agreement with the US National Women’s Football League (NWSL), which filed for bankruptcy earlier this month, continue.
Voyager Bankruptcy Puts NWSL Footballers at Risk
The partnership, announced in December last year, was one of the largest in NWSL history and was intended to be a long-term agreement.
It is stated that players in the US National Women’s Soccer League (NWSL) will not receive the payments promised in the settlement with Voyager after it went bankrupt.
In the agreement between the two companies; players would receive half of the payment in cash and the other half in crypto. Each athlete would be given a Voyager account to receive deposits and build their own crypto portfolio.
In a press release, NSWL said:
“The player fund is designed to always be distributed in cryptocurrency to accounts on Voyager with the aim of educating players about investing in the crypto space. Therefore, there was always a risk with the volatility of the cryptocurrency market.”
It is stated that there is no impact on players’ base salaries as a result of Voyager’s bankruptcy, and its effects are limited to the promised benefits of the sponsorship deal.
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