Ferrari cuts ties with crypto sponsor ahead of 2023 Formula One season

Scuderia Ferrari, the racing part of luxury carmaker Ferrari, joined the increasing database of Formula One racing teams to extremity partnerships with their cryptocurrency sponsors. Ferrari exited its multi-year concern deals with Velas Blockchain and spot manufacturing elephantine Snapdragon, resulting successful a cumulative $55 cardinal nonaccomplishment for the Italian squad up of the 2023 season.

The Ferrari-Velas concern from 2021 — acceptable astatine $30 cardinal a twelvemonth — was aimed astatine expanding instrumentality engagement done nonfungible tokens (NFTs) and different shared initiatives. However, the squad was noncompliant with the clauses that licence Velas to make NFT images, according to RacingNews365.

On November 2022, Mercedes, too, bore a nonaccomplishment of $15 cardinal aft suspending its concern with FTX arsenic the crypto speech filed for Chapter 11 bankruptcy. Red Bull Racing’s concern with Tezos Foundation suffered a akin destiny arsenic the blockchain institution reportedly decided not to renew its statement citing strategy misalignment.

Toto Wolff, the squad main and CEO of the Mercedes-AMG Petronas F1 Team, warned that different teams could travel crossed a akin situation. However, the narration betwixt F1 and the crypto ecosystem spans beyond partnerships. On October 2022, Formula One filed 'F1' trademarks arsenic it revealed plans to acceptable up an online marketplace for cryptocurrency, meta tokens, integer collectibles, crypto-collectibles and NFTs.

Related: Argentine shot league scores metaverse concern aft World Cup triumph

Amid a carnivore market, Web3 projects person taken up the pb to fortify engagement betwixt fans and sports leagues.

Deloitte’s “2022 Sports Industry Outlook” study predicted an acceleration successful the blending of existent and integer worlds, on with increasing markets for NFTs and immersive technologies. As Cointelegraph reported, the deficiency of easy-to-use platforms stands arsenic the biggest situation for mainstream adoption.