Ferrari has begun to accept payment in cryptocurrency for its luxury sports cars in the US and will extend the method to Europe following requests from its customers.
Enrico Galliera, Ferrari’s Chief Marketing and Commercial Officer, informed Reuters that cryptocurrencies are actively working to lower their environmental impact by implementing new software and increasing their reliance on renewable energy sources.
He further stated that the strategic partnership with the digital payment system is in line with the company’s target for carbon neutrality by 2030.
Galliera did not disclose the specific number of cars Ferrari anticipated to sell via cryptocurrency. However, he mentioned that the company’s order backlog was robust, with bookings secured well into 2025.
- “Our target to reach for carbon neutrality by 2030 along our whole value chain is confirmed,” he said.
Ferrari highlighted that some of their clients are young investors who have invested heavily in crypto and using the digital payment system will further encourage patronage and ease of payment for their customers.
- “Some are young investors who have built their fortunes around cryptocurrencies. Some others are more traditional investors, who want to diversify their portfolios.
- “This will help us connect to people who are not necessarily our clients but might afford a Ferrari,” he said.
The Italian company, which sold 13,200 cars in 2022, with prices starting at over €200,000 and going up to €2m, plans to extend the crypto scheme to Europe by the first quarter of next year and then to other regions where crypto is legally accepted.
Ferrari’s largest market in the first half of this year was Europe, the Middle East, and Africa (EMEA), representing 46% of the total car shipments.
Gallilera, however, stated that there will not be any hidden charges or rates via the crypto payment, noting that interests are the same everywhere.
- “Prices will not change, no fees, no surcharges if you pay through cryptocurrencies. Interest is the same in the US and Europe, we don’t see huge differences,” Galliera said.
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Meanwhile, most blue-chip companies have avoided cryptocurrency due to the extreme price fluctuations of Bitcoin and other tokens, making them unsuitable for everyday transactions.
The proliferation of cryptocurrencies as a payment option has been held back due to uneven regulatory measures and considerable energy requirements.
Tesla, for example, the electric car manufacturer, initially embraced Bitcoin as a payment method in 2021, only to have CEO Elon Musk suspend it due to environmental worries, despite Bitcoin being the largest cryptocurrency.
However, while acknowledging the challenges of convincing most of its US dealers to embrace cryptocurrency as a viable payment method, Ferrari believed that many of them would soon enrol in the system given its ease of transaction.
- “I am confident others will join soon,” Galliera said.
