Faraday Future, a pioneering electric vehicle manufacturer, has announced the creation of a crypto treasury which includes cryptocurrency investments as part of its business model. This decision comes amidst the company's financial difficulties.
Creation of Crypto Treasury and C10 Index
Faraday Future announced the launch of a 'C10 Treasury' with an initial $30 million crypto investment. The goal is to potentially scale this fund to billions. They also introduced a 'C10 Index' that will track the top 10 cryptocurrencies, excluding stablecoins.
Tokenization of Car Sales
Faraday Future plans to develop an 'EAI Vehicle Chain' for tokenized car sales and cryptocurrency-based deposits. 'The next decade could be a super long bull cycle for the crypto market,' stated Ian Calderon, the company's co-creation officer.
Company’s Prospects Amid Competition
This pivot to crypto comes as Faraday faces financial headwinds, having halted the construction of a $1 billion Nevada factory in 2016 and delivered only a handful of FF91 vehicles since. In July, the SEC issued a Wells notice to founder Jia Yueting and president Jerry Wang over alleged misstatements related to their SPAC merger in 2021.
In light of its financial difficulties, Faraday Future’s new initiatives in cryptocurrency represent an attempt to find alternative development pathways, turning threats into opportunities amidst fierce competition in the market.
