California-based Karma Automotive, a maker of ultra-luxury electric cars, has now begun accepting the digital currency as payment at one of its Newport Beach stores.
The company is now allowing customers to pay with Bitcoin (BTC) for new vehicle purchases and related services, according to an Oct. 15 press release.
Karma is experimenting with cryptocurrencies
Announcing the new payments offering, Karma CEO Lance Zhou said:
“We are opening up our platform to serve as a testbed to help turn theoretical blockchain applications into actionable ones. Karma’s flagship store will support our efforts to prove (the potential of) this emerging technology by accepting Bitcoin.”
China’s Wanxiang Group bought Karma Automotive’s assets from Fisker Automotive in 2014 for $149.2 million. It began building its flagship Revero vehicle in 2016, which costs more than $135,000 new. The Revero can reportedly travel 37 miles before requiring a recharge.
Luxury goods for Bitcoin
Cryptocurrency has long since found its way into the broader luxury goods industry. In September 2018, Swiss luxury watch brand Hublot released its Big Bang Blockchain watch, which can only be purchased with Bitcoin.
Other high-end Franck Muller watches have integrated cryptocurrency wallets. Franck Muller devices retail for between $9,800 and $50,600.
Increasingly often, you can also buy real estate for cryptocurrencies, as we wrote about here.
Blockchain Technology in the Automotive Industry
Automakers around the world are experimenting with blockchain technology and also cryptocurrencies. Ford Motor Company itself is looking at these new technologies to closely track the usage data of its energy-efficient vehicles. BMW, General Motors, Ford, Renault and Honda have also begun testing the system for identification and payment in the U.S. car market.
In September, Indian carmaker Tata Motors announced plans to apply blockchain solutions to various aspects of the automotive industry, including parking, demand forecasting algorithms and real-time fuel quality monitoring.
