Ferrari joins Mercedes in dropping crypto sponsor as NFT market plummets

Ferrari have dropped their crypto sponsor Velas following rivals Mercedes who cut ties with their crypto partner FTX. The Maranello team have also reportedly parted ways with premium sponsor Snapdragon, a semiconductor company. The two sponsors that they have lost are set to be worth a combined $55 million.

Velas signed a multiyear deal with the team in 2021, with prominent badging on the wing of the car. After two seasons with the team, a report by Racing News 365 suggests that both parties might end up in a legal conflict soon. As far as Snapdragon is concerned, the report stated that there was a mutual agreement between both parties to end their contract.

Racing News 365 reported on Ferrari and Velas:

“A source close to both companies has indicated that Ferrari did not comply with clauses that permit Velas to create NFT images, while the latter is said to be in financial breach. According to the source legal action is being contemplated by the parties.”

Earlier, Mercedes had dropped their crypto sponsor FTX and removed all related branding in November. FTX filed for bankruptcy in December and reportedly owes the Brackley team an estimated $15 million. With the cryptocurrency market becoming volatile, the teams will be avoiding any further crypto sponsors in the future.

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Carlos Sainz not worried about Charles Leclerc’s relationship with new Ferrari boss Frederic Vasseur

With Frederic Vasseur announced as the new Ferrari team principal, his closeness to Charles Leclerc from their time together at Sauber has sparked rumours that the Monegasque will get preferential treatment.

Carlos Sainz, however, is not too worried about that and is confident of his own position in the team. Speaking to Autosprint about the situation, the Spaniard said:

“No [I’m not worried], because I don’t think I’m starting from scratch. I am sure that I will get along well with him and that he will be happy with me when he sees me working, my relationship with the team and with Charles. I think his well-established relationship with Leclerc will also be very helpful to everyone in speeding up his acclimatisation here.”

After a dismal 2022 season, there have been a series of changes at the Prancing Horse, including a restructuring of the management team, which makes their future even more challenging.