Team SoloMid (TSM), a major professional eSports organization is among the entities to have broken their links with FTX. Things have started to fall apart for FTX after it ended up crashing.
Previously, the particular professional gaming organization was known as TSM FTX but after suspending the deal, it has become Team SoloMid.
TSM Suspends $210 Million Deal
Due to the recent mishaps that have taken place with the FTX exchange, TSM has decided to suspend the deal with the crypto firm.
On November 16, the officials at the TSM announced that they have suspended their sponsorship deal with FTX which was worth $210 million.
The company confirmed that they have proceeded with immediate suspension of the deal. They had to make the decision as the FTX exchange has filed for bankruptcy.
It has been more than a week since the FTX exchange suffered a major crash. The crash seems to have been the biggest blow to the exchange as it was forced to file for bankruptcy.
TSM Monitored the Entire Situation
The executives at TSM tweeted to them over 2 million followers that they had been closely monitoring the FTX situation. They were in contact with the stakeholders to see exactly what was going on with FTX.
As days have passed and new developments have been made, they have realized that they are not in the best interest of their company’s business.
Therefore, after reviewing the entire situation and carefully discussing the matter internally, they decided it was time to end the deal.
The deal was penned in 2021
It had been more than a year since the deal had been in place between both companies. The deal was reportedly penned in June 2021 and one of the conditions of the deal was to change the name.
Therefore, the eSports organization’s name was changed to TSM FTX from TSM. The purpose of the deal was to expand the TSM FTX brand name all over the world.
They announced that the deal would see their resources invested all over the world to build strong and successful TSM FTX teams.
As communicated, the deal specifically targeted South America, Europe, and Asia.
TSM Took a Step Further
Another condition of the deal was TSM going for a purchase of the FTX Tokens (FTT). The organization reportedly went for a purchase of FTT worth $1 million.
The purchased FTT was distributed among the employees, including the eSports players.
Things have gotten a lot worse for the FTT ever since the crash has taken place. From November 7 until now, FTT has recorded an almost 93% price dip and it now trades at $1.61.
This is not a good sign for the investors as the situation is constantly moving towards a decline for FTT. It is recommended that investors sit back and monitor their condition before making any investments.