Crypto and NFTs at F1: What are firms bringing to the races beyond sponsorships?
The cryptocurrency community has always put an emphasis on decentralization and globalization. Therefore, it shouldn’t come as a surprise that a number of crypto companies are sponsoring Formula 1 (F1) racing teams in an attempt to further connect with audiences across the world.
Research by global analytics company Nielsen Sports found that Formula 1 has the potential to reach about one billion fans globally this year, with the 16–35 age group accounting for the biggest share. The appeal of F1 is clearly on the rise, and cryptocurrency companies are jumping on board to demonstrate their presence. To put this in perspective, there are 10 F1 teams for the 2022 season and crypto companies are currently sponsoring eight.
Mark DiMassimo, founder and creative chief of DiGo — a New York-based marketing agency — told Cointelegraph that the interest crypto companies are taking in Formula 1 certainly makes sense from a marketing perspective. “You can argue that F1 is a natural extension from a sponsorship standpoint for crypto companies since both sectors are international, exciting and involve money,” he said.
To DiMassimo’s point, the F1 racing team, Red Bull Racing, recently entered a three-year partnership with Singapore-based crypto trading platform Bybit for $50 million per year. Prior to this, the cryptocurrency exchangeCrypto.com announced a $100 million partnership with Formula 1 for its 2021 “Sprint Series.”
Igneus Terrenus, head of communications at Bybit, told Cointelegraph that the crypto exchange views sports sponsorships as a key part of its global marketing strategy to build brand awareness and sentiment in major markets. “We are also partners to some of the top e-sports teams in the world, but Formula 1 remains the
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