Scuderia Ferrari, the racing division of luxurious automaker Ferrari, has joined the rising checklist of Method 1 racing groups to finish partnerships with their cryptocurrency sponsors. Ferrari ended its multi-year partnership offers with Velas Blockchain and chipmaker Snapdragon, leading to a cumulative $55 million loss for the Italian crew forward of the 2023 season.
The partnership between Ferrari and Velas from 2021 - set at $30 million per yr - aimed to extend fan engagement by non-fungible tokens (NFTs) and different joint initiatives. Nevertheless, the crew didn't adjust to the clauses permitting Velas to create NFT photos, according to to RacingNews365.
In November 2022, Mercedes additionally suffered a $15 million loss after suspending its partnership with FTX when the crypto trade filed for Chapter 11 chapter. Pink Bull Racing's partnership with the Tezos Basis reportedly suffered a destiny just like that of the blockchain firm decided to not renew its settlement, citing a misalignment of technique.
Toto Wolff, Staff Principal and CEO of the Mercedes-AMG Petronas F1 Staff, warned that different groups might discover themselves in an analogous scenario. Nevertheless, the connection between F1 and the crypto ecosystem goes past partnerships. In October 2022, Method 1 submitted "F1" tokens when it unveiled plans to create an internet market for cryptocurrency, meta tokens, digital collectibles, crypto collectibles and NFTs.
Associated: Argentine soccer league achieves Metaverse partnership after World Cup triumph
Within the midst of a bear market, Web3 tasks have taken the result in improve engagement between followers and sports activities leagues.
Deloitte's 2022 Sports activities Trade Outlook report predicts an acceleration within the merger of actual and digital worlds and rising markets for NFTs and immersive applied sciences. As Cointelegraph reported, the dearth of user-friendly platforms is the largest problem to mainstream adoption.
