Riot Games intends to terminate the LCS deal with FTX through the court

Riot Games has filed a series of court documents with the US Bankruptcy Court intending to terminate LCS's seven-year deal with FTX cryptocurrency exchange. The publisher is going to end cooperation with the scandalous FTX exchange just a year after the conclusion of the partnership agreement.

There is simply no way for FTX to repair the reputational damage Riot Games has already done as a result of the high public profile caused by the fiasco that preceded FTX's bankruptcy. FTX cannot turn back the clock and repair the damage done to Riot Games by its collapse.

Riot Games and FTX teamed up last summer when developer League of Legends enlisted FTX as the official cryptocurrency sponsor of the LCS, the discipline's highest-grossing North American league. However, the deal fell through when FTX filed for bankruptcy.

According to the latest petition, FTX has paid Riot Games half of what it owes for 2022. This year the company owed the publisher $12,500,000 and paid exactly half of that amount. FTX will owe Riot Games even more money next year in accordance with their agreement, with the first payment due on January 3, 2023.

According to Riot Games, reputational damage from FTX "cannot be repaired." The hearing date for the petition to terminate the transaction with the crypto exchange is scheduled for January 11 next year.

This is not the first time that a cryptocurrency exchange has lost its partners. In November, similar agreements with FTX were terminated by esports organizations FURIA and TSM, which reacted to the bankruptcy of the cryptocurrency exchange.

It is noteworthy that the FTX bankruptcy case is still dragging on. Recently, the authorities of the Bahamas detained Sam Bankman-Fried, the founder of the FTX cryptocurrency exchange, who left his post after the collapse of the company. At the same time, many experts believe that the closure of FTX is nothing more than a scam in which the company's leaders are involved.