Crypto projects are becoming a regular presence in American racing competitions. Since when is this a thing and what are the reasons behind these (sometimes surprising) partnerships and sponsorships? We’ll try to give an answer in this article.
It all started in 2014, when Dogecoin community on Reddit raised $55,000 for sponsoring NASCAR racer Josh Wise. Josh Wise took to the internet in hopes of raising enough funds, after finding himself without a sponsor. Turning to Dogecoin, Wise said that if $55,000 was raised, he would take on Talladega with a Dogecoin-sponsored no. 98 Ford Fusion. And it worked! After less than a week, Dogecoin raised enough funds to sponsor the racer through some generous donations — especially one user, who donated $13,500…accidentally.
In March 2018, another blockchain project, LOCI, announced a partnership with GMG Racing for the 2018 Pirelli World Challenge Grand Prix of Texas, taking place at the Circuit of the Americas in Austin, Texas. GMG Racing’s professional driver, 22-year-old Alec Udell, had raced in a LOCI sponsored Porsche 911 GT3 R. Beside Texas, the LOCI car participated in many races throughout the season. They also had a very good result – third place in Virginia.
LOCI, an intellectual property research and exchange platform, is breaking down the barriers to innovation with blockchain technology. Their flagship product, LOCI Search, is a completely free, powerful, and proprietary tool that inventors use to invent, stake, and sell their intellectual property (https://www.locisearch.com/). So what is the connection between IP and racing? John Wise, a former automotive engineer and current CEO of LOCI, developed the fundamental concept and patent behind LOCI Search directly from his experiences in the racing industry. As an automotive engineer, he and his colleagues were developing innovative new products at a rapid pace. In some cases, products went from ideation to prototype to testing in a single day; but very few of these products were getting patented due to of the convoluted and expensive patent research process. Wise created LOCI to encourage and support entrepreneurs to take the steps necessary to give their inventions a chance to come to life.
With this partnership, LOCI was able to bring LOCI Search to the racing world; an industry where the DIY IP research and staking platform has great potential to change the way innovation happens. Not only has LOCI brought LOCI Search to its users, but its latest release, Invention Analysis, further promotes the innovation process by helping new inventors determine the novelty and demand for their ideas before they spend money trying to patent. This is a huge cost savings of about 95% compared to traditional patent attorney searches.
Another US based crypto startup, Dragonchain, in collaboration with TriStar Motorsports, served as the primary sponsor of NASCAR Cup Series driver Corey LaJoie in Daytona. Being featured prominently on №72, Dragonchain was given an opportunity to bring visibility to blockchain technology as a whole, as well as Dragonscale, the network arm of Dragonchain that provides the necessary resources to startup incubator projects. Dragonchain always emphasizes the importance of education, and leveraged their NASCAR sponsorship as a way to introduce blockchain business applications to the public. According to their official announcement, “Dragonchain is a partial sponsor all season long and a full sponsor on №72 in Las Vegas this September 16th as well as October 21st in Kansas City”.
In conclusion, blockchain projects are trying hard to attract existing businesses by solving their problems. One of these businesses is the huge racing industry, where traditional solutions can be replaced with modern, cutting edge technology that can cut the costs and make processes more efficient. So what better way to attract these businesses than participating at racing events and having your company’s logo on a cool, powerful car?