Kraken, one of the world’s largest and most popular crypto exchanges, has made a significant move in the world of sports sponsorship by partnering with Williams Racing, a Formula One team based in the United Kingdom.
It is the first major cryptocurrency company to return to Formula One this year, signaling a new era for the intersection of sports and cryptocurrency.
The crypto exchange Kraken enters Formula One
The sponsorship and Web3 agreement between Kraken and Williams Racing includes prominent branding on the team’s cars and driver suits, as well as a series of marketing initiatives that will aim to draw attention to the cryptocurrency industry and educate fans about the benefits of blockchain technology.
This partnership is a clear indication of the growing mainstream acceptance of cryptocurrencies and their potential to become a major player in the world of sports sponsorship.
The partnership between Kraken and Williams Racing comes at a time when the cryptocurrency market is experiencing a renaissance, with the value of cryptocurrencies such as Bitcoin and Ethereum reaching all-time highs in recent months.
This has led to increased interest in the sector, with more people investing in cryptocurrencies and more companies looking to capitalize on the growing popularity of digital currencies.
For Kraken, the partnership with Williams Racing is a significant step in its mission to bring cryptocurrencies to the masses and educate people about the benefits of blockchain technology.
In a statement announcing the agreement, Kraken CEO Jesse Powell said:
“We are excited to partner with Williams Racing and bring cryptocurrency to the world of Formula One. This is a fantastic opportunity to educate a new audience about the benefits of crypto and blockchain technology, and we look forward to working with the team to create innovative marketing campaigns and initiatives.”
As for Williams Racing, they see the partnership as an opportunity to capitalize on the growing popularity of cryptocurrencies and attract a new audience to the sport.
“We are excited to partner with Kraken and be at the forefront of this exciting new industry. This partnership is a natural fit for us, as we both share a passion for innovation and pushing the limits of what is possible.”
The partnership between Kraken and Williams Racing is of significance also because it marks the return of cryptocurrencies to the world of Formula One after a brief absence.
In 2019, Bitcoin.com sponsored the Bitcoin Cash logo on the McLaren team car, but the partnership was short-lived and did not result in significant marketing initiatives or brand activations.
Collaborations between the crypto world and Formula 1
In recent years, several Formula 1 teams have begun to explore the potential of cryptocurrencies and blockchain technology to improve their operations.
In 2018, the Red Bull Racing team signed a sponsorship deal with FuturoCoin, a blockchain-based cryptocurrency, which saw the cryptocurrency logo prominently featured on the team’s cars and uniforms.
Similarly, in 2020 the McLaren team announced a partnership with blockchain-based platform Animoca Brands to create a series of digital collectibles and games based on the team’s history and successes.
The collaboration also saw Animoca Brands become an official partner of the McLaren Shadow Project, a competition that seeks to find the world’s best eSports driver.
Cryptocurrency companies have also shown increasing interest in partnering with Formula 1 teams and drivers.
In 2021, cryptocurrency exchange Crypto.com signed a multi-year partnership agreement with the Aston Martin Cognizant Formula 1 team, becoming the team’s official cryptocurrency platform.
The partnership also featured Crypto.com’s logo on the team’s cars and uniforms, as well as access to exclusive events and experiences for Crypto.com users.
Crypto.com also announced a partnership with Formula 1 itself, becoming the sport’s official cryptocurrency partner.
The partnership featured Crypto.com’s brand at all Formula 1 events and will also include the creation of a series of exclusive NFTs (non-fungible tokens) that fans could collect and exchange.