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Ferrari is preparing to expand its cryptocurrency payment options to its European dealerships, in a bid to make buying luxury cars more accessible to crypto enthusiasts. Starting later this month, Ferrari will allow its European customers to pay for their sports cars using digital currencies, following a successful rollout in the United States last year.
The Italian luxury carmaker’s decision to accept cryptocurrencies comes in response to growing demand from its affluent clientele. Ferrari has found that many of its wealthy customers prefer to use digital currencies for high-end purchases, prompting the company to adapt to this growing trend.
“Following the positive reception of this alternative payment system in the United States, our entry into the European market is a natural progression to help dealers meet the evolving needs of our customers,” Ferrari said.
While some blue-chip companies remain wary of cryptocurrencies due to their volatile nature, Ferrari’s decision underscores its commitment to meeting customer needs and staying ahead of market trends.
Despite the regulatory hurdles and high energy consumption associated with cryptocurrencies, Ferrari is determined to move forward with its plans. The company has mentioned that it will exclude countries with strict cryptocurrency regulations, such as China, from the rollout.
In the United States, Ferrari has partnered with BitPay, a leading cryptocurrency payment processor, to facilitate transactions in Bitcoin, Ether and the stablecoin USDC. BitPay instantly manages the conversion of cryptocurrency payments into traditional currency, protecting Ferrari dealers from price volatility and ensuring that customers do not face additional fees or surcharges.
However, Ferrari has not yet revealed whether it will collaborate with the same or different payment processors for its European expansion.
The wider adoption of cryptocurrencies for payments is on the rise, especially as the market recovers from the significant downturn of 2022. Many companies are integrating crypto payment solutions to meet changing consumer preferences.
Earlier this year, fintech giant Stripe announced that it would be reintroducing cryptocurrency payments, after initially experimenting with Bitcoin in 2014. Despite ending support in 2018 due to Bitcoin’s volatility, Stripe has now decided to re-enter the crypto space as digital currencies become more stable and widely accepted.
Other payment companies are also embracing cryptocurrencies. Singapore-based Triple-A, the first licensed crypto payment company in Singapore, plans to support PayPal’s PYUSD stablecoin by the end of June. Currently, Triple-A facilitates payments in Bitcoin, Ether, and stablecoins from Tether and Circle.
Additionally, Bitcoin payment app Strike has expanded its operations to the UK, once again indicating the growing acceptance and use of digital currencies globally.
Ferrari’s foray into cryptocurrency payments in Europe is a significant step forward, reflecting a broader trend toward greater acceptance and integration of digital currencies in the luxury market. As more businesses adopt cryptocurrency payment solutions, it is clear that digital currencies are gradually becoming a mainstream payment option, offering greater flexibility and convenience to consumers around the world.
Ferrari’s initiative not only positions the company as a forward-thinking brand, but also sets a precedent for other luxury car manufacturers. By adopting cryptocurrencies, Ferrari is not only responding to current market demand, but is also paving the way for future innovations in the automotive and financial sectors.
