The French luxury retailer has announced that it will begin accepting Bitcoin and Ethereum payments in the United States next month.
Given the recent decline in the value of most crypto assets, one could argue that the timing was not ideal, but beginning in the United States, Balenciaga will now accept cryptocurrencies at its flagship stores, including Rodeo Drive in Beverly Hills and Madison Avenue in New York.
Balenciaga Unfazed By Crypto’s Volatility
Balenciaga claims it will look into cryptocurrencies on a long-term basis. Currency value fluctuations, as it said, are nothing new. According to the company, other regions and e-commerce will soon follow suit.
A spokesman from the fashion powerhouse revealed that the company predicts a crypto-powered future and is not too worried about the recent market volatility.
Bitcoin and other cryptocurrencies are gaining popularity and are being outfitted by the world’s most prestigious fashion brands. Balenciaga chose to embark on its digital journey when the cryptocurrency community was buzzing about several luxury brands accepting cryptocurrency payments in their US stores.
Several other high-end retailers have begun to accept bitcoins. In March, Off-White launched a similar payment system in its flagship stores in Paris, Milan, and London.
Other well-known companies, such as LVMH Hot and Tag Huer, announced earlier this month that they would accept a variety of cryptocurrencies at checkout, including Bitcoin, Dogecoin, and Ethereum.
Top Brands Tout Crypto’s Potential
Frédéric Arnault, CEO of Tag Huer, who personally holds NFTs and other Web3 assets, believes cryptocurrencies have the potential to revolutionise the fashion industry.
“Since the inception of Bitcoin trading, we have been monitoring the development of cryptocurrencies closely. Despite the fluctuations, we anticipated that as an avant-garde watchmaker with a pioneering attitude, Tag Heuer would adopt what promises to be a globally integrated technology in the near future.”
Gucci has also quickly adopted Web3 technologies by forming a Web3-focused team and purchasing digital real estate that is being developed on The Sandbox.
The Sandbox is a blockchain-based real estate platform where Adidas, Al Dente, and others are building virtual properties.
According to Morgan Stanley, the market for luxury-branded NFTs could reach $56 billion by 2030. This likely explains the increased interest in NFTs, as well as why major brands have jumped on the crypto and NFT bandwagon.