Brooklyn Nets point guard Spencer Dinwiddie is playing a different kind of game. Last year, in a story about his love for bitcoin, Dinwiddie told Bleacher Report,
“I got a lot of ideas. But I can’t give it all to you because I haven’t even started them yet.”
He’s starting now. Dinwiddie, who’s been a long-time crypto enthusiast, is planning to tokenize his NBA contract.
According to Shams Charania of The Athletic, the NBA player will convert his contract, worth $34 million over three years, into a digital token. He plans to start his own company which will “securitize” his contract into digital form and allow him to receive a lump sum payment. Charania said Dinwiddie will likely receive less than the total amount upfront.
By securitizing his contract, Dinwiddie loses out on some future income in exchange for the lump-sum payment. However, he would have more money to invest immediately.
Charania explains in The Athletic,
“A token is a digital currency term. The bond exists in the digital currency world. Instead of buying the bond from a broker, it is through a token.
According to sources, this Dinwiddie bond would pay investors principal back and interest, which would be covered by what the Nets owe him.”
If anyone was going to tokenize an NBA contract, it would be the guy who describes himself on his Instagram page as “just a tech guy with a jumper.” Dinwiddie has a history of investing in bitcoin. He even said his shoe brand would accept the flagship crypto.
Not long after he retweeted a video of Draymond Green praising LeBron James for showing athletes how to take control of their future, he simply tweeted out “$btc.” It got a cute response from crypto exchange Binance.
He’s not the only professional sports player who’s touted bitcoin. Chargers tackle Russell Okung recently changed his Twitter handle to “Pay Me in Bitcoin.”
NFL quarterback Matt Barkley has requested payment in bitcoin from several teams.
As more players get serious about investing, the hype about bitcoin and tokenized contracts will likely only grow. In fact, don’t be shocked if Dinwiddie gets his new superstar teammates onboard.
All-star Kyrie Irving and former MVP Kevin Durant both landed in Brooklyn this summer. Durant, who just signed a four-year contract worth $164 million, owns an investment company, Thirty Five Ventures. Surely, Dinwiddie will be in his ear about crypto. Meanwhile, Kyrie Irving, who just signed a four-year/ $136 million deal, is a no stranger to counter-culture. He once announced that the Earth was flat. It probably won’t take much to convince him that our centralized monetary system is flawed and bitcoin is the answer.
Dinwiddie averaged a career-high 16.8 points per game last season. The Brooklyn point guard’s future is looking bright both on and off the court.
Last modified: June 23, 2020 2:33 PM UTC