Ferrari is all set to start accepting crypto payments for its luxury sports cars from its European dealer network. By the end of this month, they will be able to settle transactions using digital assets.
Affluent customers have time and again asked the company to integrate the crypto payment option. Ferrari did heed their requests and first implemented this scheme in the US in Q4 2023.
Electric car manufacturer Tesla was one of the first prominent companies that started accepting Bitcoin from its customers in 2021. However, within a short span of time, the company’s executive Elon Musk applied brakes owing to environmental concerns pertaining to mining.
Executive officers at Ferrari, however, believe that the crypto industry has made efforts to reduce the carbon footprint by choosing to follow different consensus mechanisms and are increasingly leaning towards the use of renewable sources.
Many of Ferrari’s clients are heavily invested in crypto.
When the company first started accepting payments via this asset class in the US, its Chief Marketing and Commercial Officer Enrico Galliera revealed that some of them were “young investors who have built their fortunes around crypto,” while the others were “more traditional investors, who want to diversify their portfolios."
For its US launch of crypto payments, the company tied up with BitPay and allowed transactions in BTC, ETH, and USDC.
The payment processor 'immediately' converts crypto payments into fiat on behalf of Ferrari's dealers to hedge the funds from being exposed to price swings. The conversion fees and surcharges are borne by the company and not by the clients.
Commenting on the latest development, Ferrari executives said,
"The entry into the European market follows the successful launch of this alternative payment system in the United States less than a year ago, to support dealers in better addressing the evolving needs of its clients.”
The team also revealed that most of its dealers in Europe have already adopted or are in the process of adopting the new payment system. However, the company did not shed light on which crypto payment processor it will use in Europe.
Going forward, Ferrari is looking to expand its crypto payment option to its international dealers in other countries where this asset class is legal.
