Ferrari Expands Crypto Payment System to Europe After US Launch

Ferrari will expand its payment scheme in cryptocurrency (photo: x @CryptoGemTR)

JAKARTA - Ferrari announced on Wednesday, May 24, that it will expand its cryptocurrency payment scheme for its luxury sports cars to its European dealer network starting later this month. It already started doing so in the United States last year.

The Italian company will also expand the scheme to other dealers in its international network by the end of 2024, in countries that legally accept cryptocurrencies.

While most major companies have shunned crypto because the volatility of bitcoin and other tokens makes it impractical for trading, Ferrari began accepting cryptocurrency payments in the US last year to meet demand from its wealthy customers.

"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 customers," the company said.

Ferrari added that most of its dealers in the region have already adopted or are in the process of adopting the new payment system.

Uneven regulation and high energy usage have also so far prevented the spread of crypto as a means of payment. Countries where cryptocurrencies are restricted include China.

For the US launch of the scheme, Ferrari is partnering with one of the largest cryptocurrency payment processors, BitPay, and enabling transactions in bitcoin, ether, and USDC, one of the largest stablecoins.

As part of the scheme, BitPay will immediately convert cryptocurrency payments into traditional currencies on behalf of Ferrari dealers, protecting them from price fluctuations, while eliminating fees or surcharges for customers.

Ferrari did not provide details on Wednesday on whether it would use other payment processors in Europe and elsewhere.