Scuderia Ferrari terminates partnerships with crypto sponsors, loses $55 million
In Brief
Cryptocurrency company Velas and chip manufacturing giant Snapdragon terminate partnerships with Scuderia Ferrari
The automobile manufacturer loses about $55 million in sponsorship deals.
Cryptocurrency company Velas and Scuderia Ferrari end their partnership, the racing division of the Italian sports automobile manufacturer Ferrari.
The partnership between the two was first announced in 2021. Back then, the companies signed a long-term contract with plans to enhance fan engagement through NFTs and other web3 initiatives. At the beginning of 2022, Ferrari placed Velas’ logo on Carlos Sainz and Charles Leclerc’s racing suits, as well as the F1-75 car.
The partnership lasted for 12 months. According to RacingNews365, Ferrari received $30 million from Velas in a year. The automobile manufacturer also terminated its multi-year partnership with chip manufacturing company Snapdragon, and its logo no longer appears on the racing cars. Snapdragon’s contract was worth approximately $25 million. So, in 2023, Ferrari lost about $55 million in premium partnerships.
The Maranello-based car manufacturer is now looking for potential sponsors that could partially limit the company’s losses before the beginning of the Formula 1 season.
The second half of 2022 saw several sponsorship deals finish due to the bear market – cryptocurrency companies face difficulties, terminate partnerships, and lay off staff. In September of 2022, crypto exchange crypto.com backed out of the $500 million multi-season Champions League sponsorship.
The collapse of FTX also negatively influenced the industry. In December, the Singapore-based trading company Amber Group ended its sponsorship agreement with Chelsea Football Club.
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About The Author
Valeria is a reporter for Metaverse Post. She focuses on fundraises, AI, metaverse, digital fashion, NFTs, and everything web3-related. Valeria has a Master’s degree in Public Communications and is getting her second Major in International Business Management. She dedicates her free time to photography and fashion styling. At the age of 13, Valeria created her first fashion-focused blog, which developed her passion for journalism and style. She is based in northern Italy and often works remotely from different European cities. You can contact her at [email protected]
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Valeria is a reporter for Metaverse Post. She focuses on fundraises, AI, metaverse, digital fashion, NFTs, and everything web3-related. Valeria has a Master’s degree in Public Communications and is getting her second Major in International Business Management. She dedicates her free time to photography and fashion styling. At the age of 13, Valeria created her first fashion-focused blog, which developed her passion for journalism and style. She is based in northern Italy and often works remotely from different European cities. You can contact her at [email protected]
