Freedom Holding Bets On The King’s Game: Chess Sponsorship As A Global Strategy

In the realm of finance, where bankers and traders analyze risks and rewards with the ability and speed of chess grandmasters, a new player has emerged to unite the two worlds: Freedom Holding Corp. A Nasdaq-listed, U.S.-based company with headquarters in Kazakhstan has committed to supporting the Kazakh Chess Federation (KCF) with more than 10% ($9.4 m) of its total charity and sponsorship budget allocated for 2024. It has also recently organized and sponsored a number of major chess tournaments, including the Individual and Team Rapid and Blitz Championships, the Asian Junior Championships and the World Rapid and Blitz Championships, the International Chess Federation’s (FIDE) premier event in New York.

Beyond philanthropy, it appears that the corporation is planning a strategic move to elevate the sport globally and establish itself as a thought leader in finance and innovation. But why chess? And why now?

Sponsoring chess is not just a financial decision. Strategy, intellect, and foresight —the qualities required to succeed in chess — resonate well with the financial world and also with the values of Freedom Holding Corp. The sport of intellect will enhance brand awareness and provide access to a unique global audience, including decision makers. Chess, however, does not appeal only to wealthy individuals; it transcends borders and languages and can be played anywhere, as it is one of the universally understood activities

“The partnership with FIDE in the organization of major tournaments will increase Freedom Holding’s visibility among chess fans in Asia, Europe, the USA and around the world,” says Timur Turlov, founder and CEO of Freedom Holding Corp.

Freedom Holding’s international growth strategy, which includes both developed and emerging markets, aligns well with a universally appealing game, enhancing the image of a global player while also encouraging cooperation and dialogue through a shared intellectual pursuit. Sponsoring chess may be less about marketing and more about fostering goodwill in crucial markets where the company operates or intends to expand.

“Chess is a universal language, a game that allows you to overcome boundaries and find common ground,” Timur Turlov added.

As the creator of the Digital Ecosystem and SuperApp, Freedom Holding Corp. recognizes the power of digital platforms to connect people throughout the world, and chess exemplifies this. With platforms such as Chess.com, it is time to capitalize on this growing trend — the digital transformation that is sweeping finance and sport alike. Anticipating moves, innovating and staying ahead of the competition are principles communicated to stakeholders organically.

“In chess, each piece has its own special capabilities. In building the Freedom digital ecosystem, we have learned, like chess players, to coordinate the most diverse parts of a single whole and ensure their effective interaction,” explains Timur Turlov.

“Chess teaches skills that are essential to the digital ecosystem—analysis, strategic planning, and trust,” Timur Turlov also said. “These same principles guide our work at Freedom Holding as we build a cohesive, innovative platform for global clients.”

Chess also fosters a significant degree of niche dominance. In contrast to other popular sports such as football or basketball, it remains relatively untapped by major corporations and creates a distinctive identity. By focusing on chess, Freedom Holding can dominate the sponsorship space without having to compete with larger brands.

However, for Freedom Holding, chess is more than a “blue ocean” strategy for establishing a reputation. By investing in the sport, it contributed to Kazakhstan’s chess renaissance, as the country has emerged as a global chess powerhouse, with young prodigies and growing institutional support. This strategic investment positions Freedom Holding as a leader in promoting this national success story. The holding has contributed to the strengthening of the current team, the attraction of thousands of chess players, grandmasters, and leading coaches, and the increase in the number of chess sections and tournaments, all of which are a testament to the success of the Kazakhstan Chess Federation. Recently, Turlov proposed the establishment of an International School Chess Federation, which he heads himself and which has the potential to become “part of the large FIDE family.

In essence, Freedom Holding’s sponsorship of chess may be more than just branding or visibility; it might also be a strategic move to align with principles, networks, and opportunities that chess uniquely symbolizes, as well as its intrinsic beauty.

As Boaz Weinstein, founder of hedge fund Saba Capital Management, said at the Wall Street Gambit conference, sponsored by Freedom Holding alongside the World Rapid and Blitz Championships, “In the end, some chess problems are simply beautiful and elegant, and investment decisions can be no less beautiful.”