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# Crypto Sponsors Flood Formula 1’s New Campaign
As the 2025 Formula 1 campaign commences in Melbourne, Australia, spectators will observe a significant shift: nearly every squad is supported by crypto sponsors. This illustrates the extent to which digital currency has integrated into this thrilling sport.
With backing from prominent exchanges, Formula 1 has evolved into a platform for the most significant entities in crypto.
## Triumph or Setback?
Crypto.com, a leading crypto exchange, stands among Formula 1’s eleven global partners. They’re in esteemed company, alongside entities such as Qatar Airways, DHL, Salesforce, Lenovo, and LVMH.
Most Formula 1 teams also boast sponsorships from some of the most substantial firms in the crypto realm.
Leading crypto exchange Gate.io is backing the Red Bull team for the 2025 season, succeeding Bybit.
Coinbase, the largest crypto exchange in the US, recently finalized an agreement to sponsor Aston Martin. This is noteworthy as it represents the initial agreement to be entirely transacted in USDC, a stablecoin linked to the US dollar.
OKX, another major crypto exchange, will persist in sponsoring the McLaren team, the 2024 victors. They are among the team’s top three sponsors, alongside Mastercard and Google.
Alpine has Binance and ApeCoin (APE) as official sponsors. Binance is the largest crypto exchange, with over 200 million users, while ApeCoin is a cryptocurrency developed by Yuga Labs, the firm behind the Bored Ape Yacht Club.
Kick Sauber has two crypto sponsors: Stake and CoinPayments. Stake is a substantial crypto casino and sports betting enterprise, while CoinPayments is a rival to Alchemy Pay (ACH), providing solutions for converting crypto into conventional currency.
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Cash App, the US payment company, is a crucial sponsor for Racing Bulls, Red Bull’s affiliated team.
Although digital currency isn’t the Cash App’s primary focus, they are still processing billions of dollars in virtual currency payments annually.
Kraken, a significant virtual currency exchange, also acts as a prominent backer for the Atlassian Williams Racing group. Toncoin (TON) Value Forecast for March 26th
MoneyGram, famous for transmitting funds globally, is not just utilizing stablecoin payments but is also the chief benefactor for the Haas racing team.
Virtual currency enterprises are attempting to gain recognition by backing Formula 1 racing, which is gaining greater traction in the United States and other nations.
Only Mercedes and Ferrari have not embraced virtual currency sponsorships. Mercedes remains wary due to the FTX incident, a virtual currency exchange that collapsed in 2022. Ferrari’s prior virtual currency sponsor, Velas, a blockchain firm, witnessed a substantial decline in its token value. Its worth plummeted from over $1.2 billion in 2022 to a mere $13 million presently.
With leading teams like Ferrari, Red Bull, McLaren, and Mercedes fiercely competing before the regulations shift next year, the 2025 season may attract an even larger audience.
Do you recall FTX’s Super Bowl commercial in 2022? It swiftly evolved into a representation of how rapidly virtual currency exchanges can flourish and fail.
At that time, FTX was thriving, and their commercial, featuring “Curb Your Enthusiasm” actor Larry David humorously rejecting significant historical innovations, sought to establish FTX as the “next big thing.” The commercial’s slogan, “Don’t miss out on the next big thing,” was intended to foster confidence and encourage widespread users to embrace the platform.
In less than a year, FTX declared bankruptcy amidst accusations of extensive financial mismanagement, deceit, and the embezzlement of client funds by Sam Bankman-Fried and his associates.
David’s doubt toward every great innovation in the commercial, stating “I don’t think so,” has become a meme, as many wish they had also declined FTX.
What conclusion can we draw from this?
To make matters worse, the commercial was broadcast during one of the most popular television shows, exacerbating its detrimental effect. While the NBA’s early adoption of digital currency appeared to be a clever strategy to take advantage of a popular trend, it eventually became part of a larger story of exaggerated promises and market volatility in the digital currency arena.
One of the most significant actions was Crypto.com’s $700 million agreement to purchase the naming rights to Los Angeles’ renowned Staples Center, renaming it Crypto.com Arena. The agreement was intended to solidify cryptocurrency’s mainstream position, but things took a turn for the worse as the market collapsed and scandals such as the FTX bankruptcy surfaced.
The NBA also aggressively promoted cryptocurrency advertising campaigns, particularly during the 2021-2022 season, when the cryptocurrency market was thriving. The market downturn and legal difficulties of firms such as FTX have resulted in a more careful approach, and some collaborations have become obligations.
It has evolved into a representation of the crypto boom’s widespread recklessness and over-marketing, resulting in skepticism about crypto advertisements and influencing regulatory examination. The NBA also broadcast cryptocurrency advertisements during games and playoffs, frequently featuring celebrity endorsements.
Companies such as Crypto.com, FTX, and Coinbase invested millions of dollars in partnerships, sponsorships, and advertising campaigns within the league. However, as the crypto winter arrived and scandals erupted, enthusiasm for these collaborations has decreased dramatically. David and other celebrities who promoted FTX even faced legal action from investors who felt deceived.
