During its investigation into the crypto platform Sorare, the UK National Crime Agency froze approximately $13.6 million in funds from the Premier League's bank account. British media reported that the money came from the first payment under their sponsorship agreement, and the freeze order was approved by Westminster Magistrates' Court in January 2025.
The frozen funds come from the first sponsorship payment.
Law enforcement agencies applied for a freezing order under the Proceeds of Crime Act regarding funds held in an account under the name of the Premier League's operating entity at Barclays Bank. The UK National Crime Agency stated that this action aims to prevent the transfer of these funds during the investigation and to verify whether the funds are linked to alleged criminal activities by third parties.
The report noted that this payment corresponds to the first installment of a four-year partnership announced by Sorare and the Premier League in January 2023. At the time, the contract amount was not disclosed, but market estimates suggested the partnership was worth approximately £30 million per year, totaling around £120 million over four years.
The collaboration included the issuance of digital cards featuring players from the 20 Premier League clubs by Sorare, with club revenues tied to card usage. The partnership expired after the 2025-26 season. No misconduct has been alleged against the Premier League.
Sorare also faces gambling-related litigation.
In addition to the funds freeze investigation, Sorare is facing another regulatory lawsuit in the UK. In September 2024, the UK Gambling Commission accused the company of offering gambling services without a required operating license, alleging violations of the 2005 Gambling Act.
Sorare pleaded not guilty to all three charges when it appeared in court in October 2024. The trial, originally scheduled for June 2026, has now been postponed to June 2027. UK media reported that this marks the first time the UK Gambling Commission has taken such enforcement action against a blockchain platform.
Sorare did not comment on the freezing order, stating only that its contract with the Premier League ended on schedule. Regarding the gambling allegations, the company denied that its product constitutes gambling under UK law, asserting that regulators misunderstood its business model and emphasizing that the platform rewards users' judgment and player-selection skills, not random outcomes.
Football and crypto partnerships face pressure
This incident also highlights the UK regulators' ongoing scrutiny of partnerships between football clubs and crypto companies. In June this year, the UK Financial Conduct Authority sent letters to Premier League clubs, warning that collaborating with unauthorised crypto firms could violate financial services laws and pose legal and reputational risks.
At the time, regulators stated that football clubs have large, loyal fan bases and should not allow unauthorized financial companies to leverage the clubs' brands to promote questionable products to the public. As enforcement, gambling compliance, and financial promotion scrutiny intensify in tandem, commercial partnerships between sports leagues and crypto platforms are facing increased compliance pressure.