National Crime Agency Freezes Funds Linked to Premier League
In a significant development, the National Crime Agency (NCA) of the UK has immobilized funds exceeding $13.6 million (£10 million) linked to the Premier League, the most prominent soccer league globally. This move follows an investigation into Sorare, a cryptocurrency company that made the payment to the league, as reported by The Sun. The NCA secured a freezing order from Westminster magistrates’ court in January 2025, as part of its efforts to trace any possible criminal associations related to the money under the Proceeds of Crime Act. According to representatives, the freeze aims to safeguard the funds pending the outcome of the ongoing investigations.
Sponsorship Deal and Financial Implications
The funds are recognized as the initial payment from Sorare as part of a sponsorship deal revealed in January 2023. Although the exact value of this deal was not disclosed due to contractual confidentiality, it was speculated to be around $41 million (£30 million) annually, totaling approximately $163 million (£120 million) throughout its four-year duration. This arrangement allowed Sorare to produce digital trading cards for players from all 20 Premier League clubs—compensating clubs based on the usage frequency of their cards. However, this contract concluded following the 2025-26 season.
Currently, there are no allegations of misconduct against the Premier League; they have chosen not to comment publicly on the matter. Notably, the league is scheduled to appear in court on Monday, aiming to modify the freezing order, which is effective until September 14. Recent financial reports indicate that as of July 31, 2025, the Premier League’s reserves are reported to be over $2 billion (£1.5 billion).
Sorare’s Background and Legal Challenges
Sorare, which was established in 2018, operates a fantasy soccer platform where users create teams using digital cards, scoring points based on real players’ performances. Initially a crypto marketplace, Sorare expanded its payment options in August 2023 to include cash transactions. High-profile figures, including football legends such as Lionel Messi, and business moguls have endorsed and invested in Sorare, with the company valued at around $4.3 billion (£3.2 billion) as per data from its 2021 investment round led by SoftBank.
The legal challenges for Sorare do not stop at the NCA’s investigation. In September 2024, the Gambling Commission took action against Sorare for operating a gambling service without a license, as mandated by the Gambling Act 2005. This prosecution is notable as it represents the regulator’s first case against a blockchain-based platform. Currently, Sorare has pleaded not guilty to the charges, and a trial has been scheduled for June 2027, postponed from June 2026.
Company’s Response and Regulatory Scrutiny
In response to the freezing order, Sorare has refrained from making comments while asserting that its Premier League agreement has officially ended. Concerning the gambling accusations, the company disputes the assertion that it qualifies as a gambling product in the UK, claiming that the Gambling Commission has misinterpreted its operations and the applicable legal framework. Sorare maintains that its offerings emphasize skill over chance.
Regulatory scrutiny about the intersection of cryptocurrency and soccer is intensifying. In a proactive measure, the Financial Conduct Authority reached out to Premier League clubs in June, alerting them about potential breaches of financial services law when engaging with unauthorized cryptocurrency enterprises. Lucy Castledine, the director of consumer investments at the Financial Conduct Authority, emphasized the responsibility of clubs to protect their loyal fan base from potentially untrustworthy financial products.
