Newcastle have entered into a commercial deal with global investment platform eToro.
Here’s their website for some information on the company.
We need more commercial deals like this to bolster our commercial revenue which should be a lot more than it is and lags way behind the top clubs in England.
If we can get the commercial income growing then hopefully, there will be more transfer money for Rafa Benitez to spend in the future – if he decides to stay on Tyneside.
Mike Ashley – Newcastle owner
Newcastle will receive their payments from eToro in bitcoin currency.
This is some of the announcement reported on the Newcastle website:
Newcastle United have become one of the first Premier League clubs to launch an innovative commercial partnership with global investment platform, eToro.
The landmark deal will be paid in bitcoin – the first and largest cryptocurrency – and will see eToro become an official club partner.
As part of the new partnership, the company will gain global exposure through an extensive range of marketing opportunities including matchday LED boards, player access, tickets and digital rights.
eToro’s branding will also become a familiar sight across the Premier League after simultaneous deals with Tottenham Hotspur, Crystal Palace, Southampton, Brighton & Hove Albion, Cardiff City and Leicester City were announced.
eToro is a global investment platform that enables people to invest in cryptoassets, alongside more traditional financial instruments such as stocks and commodities and it currently has a community of more than ten million registered users.
Newcastle United’s head of partnerships, Dale Aitchison, said the following:
“We are delighted to welcome eToro to our family of high-profile commercial partners.”
“This is a leading player in an emerging industry and we are looking forward to exploring opportunities in cryptocurrency and technology together.”
As an example, below is the Newcastle total revenue from the 2014-2015 financial year with revenues around £130M.
Broadcast revenue (money we get from the Premier League for TV rights) was more than that of commercial and matchday revenues put together.
One area where we lag behind is with the commercial revenues of the club.
The Broadcast revenue for Newcastle has increased since 2015 and in the last financial year it was around £123M and is the major revenue driver for Newcastle United.
Why Newcastle argue on transfers over half a million here or there for a player Rafa wants baffles us.
Newcastle seem to look at each transfer as a single deal and never look at the big picture.
That’s likely another thing Rafa wants to change if he agrees to stay.
Finally, with bitcoin being a bit unstable (understatement) in its fairly short lifetime the Chronicle have reported this today:
“It is understood that there are assurances written into the contracts so that, even if the price of Bitcoin did collapse, Newcastle – and the other six Premier League clubs – would still receive the equivalent level of payment.”