Miami-Dade Aims to Rename FTX Arena After Financial Scandal

MIAMI (FLV) – Miami-Dade County is trying to part ways with Sam Bankman-Fried’s cryptocurrency company FTX amidst a Department of Justice and Securities and Exchange Commission investigation for allegedly mishandling funds of its customers.

The county has a 19-year, $135 million naming rights deal for FTX Arena, where the NBA’s Miami-Heat play.

FTX filed for bankruptcy protection on Nov. 11, and a judge issued an order preventing entities from acting against the company. That includes Miami-Dade County’s naming rights deal.

Miami-Dade said if the agreement continues, it would cause “significant hardship” and harm efforts to find a new sponsor for the NBA arena.

The case, filed by Miami-Dade County, is being tried in the Delaware court where bankruptcy proceedings are taking place.

The crypto firm reportedly has paid the South Florida county nearly $20 million, and is set to pay another $5.5 million in January. The county is seeking $17 million in damages.

FTX’s logo is on the Miami Heat’s court and team jerseys.

After being valued at $30 billion, the firm collapsed and is in debt billions of dollars to creditors.

Bankman-Fried’s firm collapse has sent shockwaves in the crypto market, with another crypto firm BlockFi going bankrupt Monday.

Many other companies had been bailed out by FTX and Alameda Research. It is therefore quite logical that some of these companies were expected to find themselves in difficulty after the bankruptcy of the Bankman-Fried empire. The list of collateral victims therefore begins to appear with the bankruptcy filing on November 28 of the

The Street