Crypto exchange OKX canceled Super Bowl commercial over FTX fallout

Crypto exchange OKX axed its plans for a Super Bowl spot as a result of the collapse of competitor FTX, Haider Rafique, chief marketing officer of OKX, confirmed with Ad Age. Back in September, Rafique told Ad Age the exchange would “of course” be marketing in the big game. The brand had set aside $15 million in its budget—though never officially bought a placement from Fox—and in the fall began deliberating ideas with BBDO NY, its agency of record. One such concept included casting Jonah Hill as Sam Bankman-Fried, FTX’s since-disgraced former CEO, Rafique said. But after FTX spiraled in dramatic fashion in early November, capping a year of collapses in the crypto industry, OKX decided that a Super Bowl commercial was no longer in the cards. “It just feels like bad manners,” Rafique said. “No one wanted to hear from a crypto brand except an apology, which [at the time] was missing.” Web3 marketing trailblazers Entries are open for our first official Web3 honorific Enter here Indeed, as FTX burned, consumers called for more accountability from exchanges, such as pressing them to audit their holdings. Many did release these so-called “proof-of-reserves” (PoR), but several drew red flags. Crypto.com and Binance, for example, were audited by a less-than-reputable accounting firm called Mazars Group, which has since halted all work with crypto clients. OKX has released three of its own PoRs. The exchange, based in Seychelles, rebranded from OKEx in early 2022. It is unavailable to U.S. investors, although its sister exchange, OKCoin, is available in the U.S. Another reason for canceling the Super Bowl effort was that OKX had not yet found a proper idea for the ad. The exchange was looking to provide entertainment value, with a focus on humor, as in the concept involving Jonah Hill. (No official conversations were had with Hill’s team.) Rafique, however, did not feel sufficiently excited by any of the creations. “We will not do [the Super Bowl] how Crypto.com did it,” he said, calling the 2022 spot a “reckless message.” The spot, an extension of Crypto.com's “Fortune favors the brave” messaging, featured LeBron James conversing about the future with his younger self. Along with Crypto.com, numerous other crypto brands launched ads during last year’s Super Bowl, which was aptly referred to by some as the “Crypto Bowl.” But soon afterward, crypto firms were accused of misleading consumers through the use of celebrities in their campaigns. Last summer, the SEC released a public service campaign cautioning retail investors “because investing is not a game.” In the wake of FTX’s collapse, a class-action lawsuit alleged that the firm's former celebrity brand spokespeople—including Tom Brady, Steph Curry and Larry David—were culpable for promoting the failed exchange. More recently, the CFTC accused FTX of using commingled funds—including stolen customer funds—to finance its marketing endeavors, such as its Super Bowl ad starring David. The suit is one of many that have been filed against FTX and its former executives. At the time of writing, no crypto brands have announced plans for a commercial in this year’s Super Bowl. In response to whether he anticipated an industry-wide absence during the Big Game, Rafique said: “I would never say never.” Going forward, OKX plans to reallocate its Super Bowl budget for other projects, including a Web3 wallet, as well as marketing activations for later in 2023. Of course, the exchange is also eyeing a spot in next year’s Super Bowl, Rafique said. Check out the latest Ad Age events and award programs

Crypto exchange OKX canceled Super Bowl commercial over FTX fallout

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