Formula 1 joins forces with cryptocurrency company

PARIS: Cryptocurrency is everywhere these days, it seems. To inaugurate its new Sprint series format, with a 100km sprint qualifier to determine the standing grid for the full race, Formula 1 has partnered with Crypto.com, a cryptocurrency exchange platform.

The platform also becomes the NFT partner of F1 for the next five years.

Crypto.com has pledged to become a carbon-neutral platform by December 2022 - a goal shared by F1, which aims to be carbon-neutral by 2030.

According to CNBC, the five-year deal between the two parties could total more than US$100 million. Crypto.com reportedly has more than 10 million users on its platform, and has an app available for Apple and Android devices.

The company generates revenue from transaction fees and sports partnerships, including with the Montreal Canadiens, a National Hockey League franchise.

"We are extremely proud to be the first cryptocurrency sponsor of Formula 1, joining a prestigious collection of brands supporting a sport with technology and innovation at its core. We look forward to many years of innovating together, and will begin at the Belgian Grand Prix where we will present a brand new award," said Kris Marszalek, co-founder and CEO of Crypto.com.

The Aston Martin F1 team, home to drivers Sebastian Vettel and Lance Stroll, already has a partnership with Crypto.com. In fact, the exchange platform has featured among the sponsors on the British car since March 2021.

Both companies are working on developing products related to cryptocurrencies, including NFTs themed on the drivers and the team. All in all, partnerships between cryptocurrencies and sports seem to be on the up. But it remains to be seen where this could lead.