Prestigious sports car brand Ferrari has revealed its decision to accept cryptocurrency as a payment method for its vehicles in the U.S., citing customer demands as a motivation to expand this initiative to Europe in the foreseeable future.
This move follows Tesla’s short-lived venture into accepting Bitcoin in 2021, a decision which was later reversed due to environmental apprehensions.
Speaking to Reuters, Ferrari’s Chief Marketing and Commercial Officer, Enrico Galliera, highlighted that the crypto industry has been proactive in curbing its environmental impact. This has been achieved through the rollout of new, more energy-efficient software and an increased reliance on renewable energy resources.
In alignment with these environmentally conscious efforts, Galliera reiterated Ferrari’s dedication to realizing carbon neutrality across its entire operational spectrum by the year 2030.
Driven by market dynamics and dealer feedback, Ferrari’s decision to embrace cryptocurrency stems from the fact that a significant portion of its high-net-worth clientele is deeply invested in digital currencies.
Galliera pointed out, “Among them are youthful investors who have cultivated substantial wealth through crypto ventures. Then there are the more conventional investors aiming to broaden their investment horizons.”
Although certain cryptocurrencies like Ethereum (ETH) have been lauded for advancing towards energy efficiency, Bitcoin (BTC) remains under scrutiny due to its power-hungry mining operations.
While Ferrari refrained from providing specific figures regarding anticipated sales from crypto transactions, Galliera emphasized the robust health of the company’s order book, noting it’s fully reserved up until 2025.
Ferrari Adopts Crypto to Expand User Base
Ferrari’s move to embrace cryptocurrencies is not just a nod to the evolving financial landscape but a strategic maneuver to appeal to a wider demographic. The goal is to resonate with affluent individuals who, while capable of affording a Ferrari, might not have contemplated acquiring one before.
To ensure smooth crypto transactions, Ferrari has teamed up with BitPay, a prominent player in the cryptocurrency payment processing realm.
To kickstart this initiative, Ferrari will accept Bitcoin, Ether, and USD Coin (USDC) – a stablecoin. In order to provide a buffer against the volatile nature of cryptocurrencies, BitPay will handle the conversion of digital currencies into conventional money for Ferrari dealers, ensuring stability in the transaction process.
Ferrari is gearing up to broaden its cryptocurrency payment system to Europe in the upcoming first quarter, with subsequent expansions planned for regions where such payments are legally sanctioned.
In the initial half of 2023, Ferrari’s primary market—comprising Europe, the Middle East, and Africa (EMEA)—was responsible for a significant 46% of the company’s total car deliveries.
Galliera underscored the fact that the inclination towards cryptocurrency payments is consistent between the United States and Europe, suggesting a worldwide appetite for this mode of transaction.
In a recent update, Taylor Swift is opening up to the crypto wave, granting fans the opportunity to secure tickets for her much-awaited movie, “Taylor Swift: The Eras Tour,” using an array of cryptocurrencies. This includes popular digital currencies such as Bitcoin (BTC), Ethereum (ETH), Dogecoin (DOGE), and Shiba Inu (SHIB).
In a parallel development, MoonPay, a renowned firm specializing in crypto payment infrastructure, recently introduced an enhancement to its application. This new addition empowers users to directly exchange one cryptocurrency for another.
This enhancement broadens the capabilities of MoonPay’s consumer-centric crypto app, which made its debut in May. Initially, the app was designed to let users acquire cryptocurrencies and simultaneously manage diverse wallets seamlessly within the platform.