Faraday Future, a company facing challenges in the electric vehicle business, has announced a new strategic direction towards cryptocurrencies and artificial intelligence (AI).
Shift to Cryptocurrencies
Faraday Future announced this month the launch of its C10 Treasury product, which is a weighted basket of the top 10 crypto assets, excluding stablecoins. The plan is to allocate 80% of funds according to the index, while the remaining 20% will be actively managed to achieve better returns.
The company aims to raise between $500 million and $1 billion in initial cryptocurrency purchases, with an initial purchase of $30 million.
Faraday Future's Business Struggles
Faraday Future is facing serious challenges in its business, as by January 2025, it had produced only 16 FF 91 vehicles, most of which were given to employees and advocates. The company's strategy involves leveraging cryptocurrencies and AI technologies to rekindle interest in its products.
Opinions and Forecasts
Ian Calderon, the company's Co-Creation Officer, stated, “The next decade could be a super long bull cycle for the crypto market.” He emphasized that the company is building a 'growth engine' that combines the long-cycle, high-value EAI ecosystem with the short-cycle, high-velocity crypto ecosystem. These two mechanisms are intended to empower each other, redefining mobility and financial innovation.
Faraday Future is taking steps to change its business model by focusing on cryptocurrencies and AI technologies. This strategy could help the company tap into new funding sources and revive interest in its products.
