The NCAA – or the National Collegiate Athletic Association – is a “member-led organization dedicated to providing a pathway to opportunity for college athletes,” according to their official website. NCAA athletes are granted a number of benefits, like scholarships to cover room, board, and tuition, for instance. Other benefits also include small stipends for living expenses, materials, and typically for any sport-related injuries.

NCAA athletes, however, do not get paid for playing on college teams, even though the colleges do make money off their athletes. Under previous NCAA rules, student-athletes must maintain their status as amateur athletes. What does this mean? Amateur athletes cannot do any of the following:

• Promote or endorse any products
• Receive any prize money based on their performance
• Receive funding to offset training expenses
• Receive payment for playing
• Receive representation or be marketed by a sports agent or a sports professional
• Receive any compensation for use of their name, image, or likeness (NIL).

In other words, the athlete cannot make money for playing the sport, although the colleges and universities where these athletes are playing are definitely making money off their athletes.

A recent survey determined that 62% of adults believe that college athletes should be paid for the use of their identify in certain products (like jerseys and other apparel, for instance). The survey also determined that 61% of people support the idea of allowing athletes to make money at least through endorsements.

Recent Changes to NCAA Policy

Very recently, the NCAA approved a policy (although only temporary) that would allow college athletes to get paid. More specifically, athletes in all three divisions would be allowed to get paid for their name, image, or likeness being used. As mentioned, the policy is only temporary; it is expected to last until there is either federal legislation or the NCAA’s development of permanent rules in regards to the subject.

What does this mean? The changes to the NCAA’s policy means that college athletes will be able to make money of their name, image, or likeness. This would include things like autograph signings, endorsements, and personal appearances. Almost immediately as soon as this change went into effect, college athletes started monetizing their social media accounts, signing deals with brands, and launching their own brands, for example.

The recent craze which has allowed student athletes to make money are NFTs – or non-fungible tokens. NFTs are digital assets. For athletes specifically, NFTs are typically in the form of photographs, videos, etc. Through NFTs, athletes are essentially making money through their name, image, or likeness.