Ferrari Accepting Cryptocurrency Payments in the US
Ferrari's decision to accept crypto payments was driven by market demand and dealer requests, according to Ferrari's chief marketing and commercial officer.
Ferrari's decision to embrace cryptocurrency payments wasn't made on a impulse. According to a report from Reuters on October 14, Enrico Galliera, Ferrari’s chief marketing and commercial officer, confirmed the luxury car brand's new direction. The driving force behind this shift was clear: market demand and dealer requests. With a growing number of clients, especially younger, crypto investors, Ferrari saw an opportunity to cater to this emerging market segment.
While the exact number of cars Ferrari anticipates selling via crypto remains undisclosed, Galliera highlighted that Ferrari's order portfolio is robust, with bookings stretching until 2025. By integrating cryptocurrency payments, Ferrari aims to tap into a wider market, reaching potential buyers outside its traditional customer base. Furthermore, the luxury carmaker has set its sights on Europe, planning to introduce cryptocurrency payments there by the first quarter of 2024 and expand to other crypto-friendly regions after.
To facilitate its crypto transactions in the US, Ferrari has partnered with BitPay, a leading cryptocurrency payment processor. This collaboration will allow transactions in Bitcoin, Ether, and USD Coin. One of the standout features of this partnership is the assurance of no additional fees or surcharges for customers using cryptocurrency.
BitPay will convert cryptocurrency payments into traditional fiat currency for Ferrari's dealers, ensuring they remain insulated from any potential cryptocurrency price swings. Additionally, BitPay will ensure the legitimacy of the digital currency, verifying that it doesn't stem from illegal activities or money laundering.
Numerous major corporations have been cautious about embracing cryptocurrencies due to their price instability and transaction limitations. One such company is Tesla, the electric vehicle manufacturer, which initially introduced Bitcoin as a payment option in 2021 but later discontinued its use as a payment method due to environmental worries, as stated by CEO Elon Musk.