Cryptocurrency exchanges FTX Trading and Crypto.com are due to run advertisements during this weekend’s Super Bowl matchup between the Los Angeles Rams and Cincinnati Bengals when more than 100 million viewers are expected to be watching.
The companies are hoping that a Super Bowl ad will help to catapult a brand into the mainstream, which could help the exchanges boost cryptocurrency adoption coming off a painful downturn in digital coins and tokens in January.
A jump in new users after the game would help keep the platforms, which are dependent on trading volumes, growing.
That’s likely one reason the cryptocurrency exchanges are willing to pay top dollar for ad space with a 30-second slot this year costing as much as $7 million U.S., an all-time high.
However, cryptocurrency companies are no stranger to the high cost of advertising. At least $112.9 million U.S. has been spent on national crypto-related ads since the start of 2020, according to iSpot.tv data.
Crypto.com has deployed about $65 million U.S. on its advertising campaign with actor Matt Damon. FTX has invested $21 million U.S. on multiple campaigns, including a handful with now-retired quarterback Tom Brady.
The recent boom in cryptocurrency is frequently compared to the speculative dot-com era of the late 1990s, which reached a fever pitch at the Super Bowl in 2000 when ill-fated companies such as Pets.com made their debut only to weeks later see their values plummet in a stock market crash.
The market for cryptocurrencies is digging itself out of a major decline after losing as much as $1.1 trillion U.S. in value at one point in January. Furthermore, policymakers remain wary of the volatile asset class, with U.S. President Joe Biden set to soon release an executive order on regulation.
However, such concerns are unlikely to make it into Sunday’s ads, which are expected to be uplifting and fun compared to last year’s pandemic themed ads. FTX has rolled out teasers for its commercial featuring historical figures, including a fictional Thomas Edison who’s hoping to win Bitcoin from the platform’s giveaway tied to the football game.
