The Board of Control for Cricket in India (BCCI) has banned deals involving the cryptocurrency exchange. Following this announcement, some of the IPL franchises are not happy about the decision, as it would affect their business.
But this decision by BCCI is mainly until the Indian government determines the future of cryptocurrency in India. As per reports, the Indian government will discuss a bill regarding cryptocurrencies in the upcoming winter session.
As a result, until a final decision has been made, BCCI has told the IPL franchises not to deal with any cryptocurrency brand. While the media rights holder, Disney+Hotstar India has also been informed the same by the cricket governing body of India.
A report by Economic times stated that two IPL franchises were close to sealing a deal with some cryptocurrency brand, while they were paying a huge sum to be the main sponsor. But the deal had to be scrapped after BCCI had sent a notice informing about the ban.
Speaking about it, an executive of one of the IPL franchises, who were offered a deal by a crypto exchange company, quoted that “It’s a major opportunity loss. The kind of money they were offering for the main sponsorship was 1.5 times what the current sponsor is paying. They wanted to build their brand with our association and were ready to pay for that.”
The franchises always have the freedom in signing their sponsor or partner. But regarding the cryptocurrency, BCCI doesn’t want to hurry because it is currently in the hands of the Indian government. The decision becomes political in nature and BCCI would not be interfering in it.
Adding to it a BCCI source said: “While the members of the IPL governing council may not have an issue with cryptocurrency exchanges advertising, it’s a matter of optics. BCCI secretary Jay Shah is the son of the union home minister, and the central government is in the process of bringing a crypto bill in the upcoming winter session of parliament. Till there is some clarity, he may not be seen allowing crypto ads.”