Binance ends its partnership with Argentina national football team
Binance, the largest crypto exchange, has made the decision to terminate its five-year agreement with the Argentine Football Association (AFA) prematurely, just one year after the partnership was established. The reason cited for this unexpected move is the AFA’s failure to fully meet its obligations under the contract, which goes against Binance’s business values and association principles.
Last year, Binance entered into a significant five-year deal, becoming the primary sponsor for the Argentine national football team and also supporting the Argentine football league as a sponsor. However, tensions arose when the AFA unilaterally ended its contract with the fan token site Socios in favour of signing an agreement with Binance. As a consequence, Socios took legal action against the AFA, resulting in a court order instructing the Association to cease all collaborations with Binance. The court determined that the new agreement with Binance was in direct contradiction to the previously signed contract with Socios. This complex situation has led Binance to terminate its collaboration with the Argentine Football Association.
The Argentine Football Association has asserted that Binance terminated their deal due to regulatory challenges with the US Securities and Exchange Commission (SEC) and financial difficulties. However, AFA disputes Binance’s explanation, rejecting claims of any breach of the terms of the agreement. As a result, AFA intends to take legal action against the exchange.
It’s worth noting that Binance and its CEO Changpeng Zhao were previously charged by the SEC for alleged violations of US securities laws. In addition to this, Binance has faced a complex regulatory environment in various other countries, leading to its exit from the Netherlands, Cyprus, and Canada.
Binance remains committed to strengthening its presence in Argentina. The representatives of the company have emphasised their plans to continue collaborating with local partners to further expand strategic business alliances within the country.
Earlier, Binance’s analysts shared insights into the crypto market’s dynamics over the past six months, highlighting significant trends that have emerged during this period.