The National Football League (NFL) has some of the most valuable and successful franchises in sports entertainment. An interesting phenomenon that has recently emerged is the use of cryptocurrency to pay players’ salaries. Some NFL players have agreed to be paid in cryptocurrencies such as Bitcoin and Ethereum as these digital currencies gain acceptance across different countries.
This article offers insights into why the decision has been made and introduces prominent players who have adopted crypto as their salary payment method.
Why Use Crypto As a Payment Method?
If adopted, the tech behind cryptocurrency has several benefits that can appeal to NFL players. Firstly, it is established that digital currencies are free from interference and control by central authorities such as the government and banking institutions. It can also mean reduced transaction costs and early realization of proceeds from credit sales. Thirdly, Cryptocurrency is an asset that has the potential for large-scale appreciation.
NFL Players That Adopted Crypto
Here are some of the most popular NFL players with notable adoption of cryptocurrencies:
Russell Okung
Russell Okung, an ex-Carolina Panthers’ offensive tackle, is arguably the most vocal NFL player on crypto. Okung came under the limelight in December 2020 when he became the first employee who decided to receive part of his salary in Bitcoins.
Okung became one of the earliest NFL players to participate in Bitcoin since he used Strike’s payment company to convert half of his $13 million salary to Bitcoin. Okung’s action was evolutionary, proving that one could be paid in cryptocurrency among professional athletes and encouraging other personalities.
Trevor Lawrence
Another NFL player, the quarterback Trevor Lawrence, is the Jacksonville Jaguars’ first overall pick in the 2021 NFL Draft, who also dabbled into cryptocurrencies.
Lawrence was a recent endorser of Blockfolio, a cryptocurrency investment app, signing the deal where he preferred to be paid in cryptocurrencies for his signing bonus. This move by one of the world’s most anticipated youthful football stars illustrated the trend of encouraging the emerging economy of young football talents to use digital currencies.
Saquon Barkley
In July 2021, Saquon Barkley, the New York Giants super back, said he would turn every sponsor’s fee into BTC. Like most others in this list, Barkley is not offered direct payments in cryptocurrency or tokens. However, what he is doing instead is buying some of the cryptocurrencies with the money he earns.
The rationale that Barkley gave for attempting to build up wealth with BTC was informed by the premature end of careers for most NFL stars.
Tom Brady
Another completely recognized NFL star quarterback is Tom Brady, who invested seriously in cryptocurrencies in 2021. How Brady benefits personally remains less clear, and he has yet to add that he is paid in BTC by the NFL, but after he took an equity stake in SBF’s FTX exchange to be paid in crypto by the exchange, he will act as his brand ambassador.
Also, in April, the famous footballer started his own NFT marketplace, Autograph, to enlist many talented personalities from sports, entertainment, fashion industry, and pop icons.
Additionally, in late October of 2021, Brady hit the 600th passing touchdown of his career, making Brady the sole NFL record holder for 600 passing touchdowns. After the endzone reception, the ball was passed to a fan, and Brady rewarded him with one Bitcoin as the receiver initially passed to him, scoring the touchdown.
Aaron Rodgers
Aaron Rodgers, arguably one of the most prominent Bitcoin endorsers, supports the quarterback of the Green Bay Packers football team. Aaron Rodgers has not wavered that cryptocurrency is the best way to counter inflation. Rodgers has had Bitcoin as his favorite cryptocurrency for a long time, and he even attended the Bitcoin 2022 Conference to give his account of this form of currency.
Will Crypto Salary Be Taxed or Not?
Cryptocurrency payments will be considered wages from an employer and taxed as ordinary income at fair market value as of the date it was received.
Conclusion
All in all, the use of cryptocurrency by NFL players to pay salaries is a noteworthy evolution in sports and finances. Of course, there are obstacles and threats in such decision-making, but the freedom to spend and the potential to increase the value of bought assets are the key factors attracting athletes to such choices.
Over time, given the dynamic nature of the financial market, it will be interesting to watch this trend evolve with its influence on the further integration of digital currencies.
