Crypto Giant Is Selling 60% Stake in Peyton Manning-Backed $1.5 Billion NFT Firm After FTX Falls

Many superstar athletes jumped aboard the crypto bandwagon when its market was at its peak. But it was not the same in the present. Cryptocurrency giants FTX crashed late last year, gobbling up investments from the likes of NFL legend Tom Brady. And now another crypto giant is selling its entire stake in a $1.5 billion NFT company backed by another NFL legend Peyton Manning.

Is the blockchain bubble bursting after being heralded by many as the future?

Peyton Manning-backed NFT company loses 60% of stakeholders

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Crypto giants Fanatics are selling their entire stake in NFT company Candy Digital. The Mark Rubin company owned 60% of the sports organization NFT which is valued at a whopping $1.5 billion. The NFT market has taken off after the initial success story of blockchain-based cryptocurrencies. But since that market has seen a downward spiral, sports NFTs have lost the luster they once had.

However, it is not an alarming situation for Candy Digital, as they have an investor to replace the outgoing ones. According to a report by CNBC, Fanatics is selling its entire stake to an investor group led by Galaxy Digital. So no, the company won’t go bankrupt. But the move could be due to some kind of crypto winter that has engulfed the market.

Candy Digital had raised $100 million in investment in October 2021. In addition to the usual investment groups like Softbank, NFL legend Peyton Manning has also invested money in the company.

This report comes amid a broader implosion in the NFT and cryptocurrency markets that saw giants like FTX fall just a few months earlier.

The Fall of FTX

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Another NFL legend who lost millions in the implosion were Tampa Bay Buccaneers QB Tom Brady. He too backed cryptocurrency exchange FTX in 2021, right after winning his seventh Super Bowl title. While all was rosy up until the booming markets, the company couldn’t handle the current bear market.

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The company owned by Sam Bankman-Fried went bankrupt in November last year, taking with it huge investments made by Brady, his ex-wife Gisele Bündchen and many others. Bankman-Fried stepped down as CEO of the company after a deal with Binance fell through due to concerns about solvency and leverage. He was later arrested in the Bahamas and flown back to the United States to face charges. He pleaded not guilty.

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So, after years of being rivals on the court, Brady and Peyton Manning seem to be in the same boat. But the real question is: are cryptocurrencies really the future?

WATCH THIS STORY: Patrick Mahomes names the best single-season QB the NFL has ever seen and it’s not Tom Brady or Peyton Manning

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