Crypto adoption in the fashion industry is on the rise. French fashion house Balenciaga has joined the train as it accepts crypto for payments.
Balenciaga Accepts Crypto
Balenciaga is now accepting payments in cryptocurrencies, according to a report from Women’s Wear Daily on Monday. Currently, the French fashion house’s motivation for this latest move remains unclear, even as some question the timing, citing the recent woes faced by the crypto market in the last two weeks.
The French fashion house plans to start its crypto acceptance in its leading stores in the US, including on Madison Avenue in New York and Rodeo Drive in Beverly Hills, and on balenciaga.com. Balenciaga also pointed out that it would be extending the same opportunity to other outlets and regions soon. Balenciaga will only accept Bitcoin and Ether payments, but plans are already in place to expand the available options.
Furthermore, Balenciaga has revealed the fashion house is not worried about the volatility of crypto markets. A company statement read, “Balenciaga is thinking long-term about crypto, and fluctuations in currency value are nothing new.”
Crypto X Fashion Industry
As reported earlier this month, Italian fashion house Gucci had also revealed plans to accept about 12 cryptocurrencies for payment in its leading stores in the US come the summer of 2022. It is worth noting that Gucci and Balenciaga are both under the same parent company Kering.
Notably, in March, François-Henri Pinault, CEO of Kering, said, “the philosophy of the group when it comes to innovation – rather than wait and see, which is often the posture of luxury houses – is to test and learn.” So it will be no surprise if we see the trend of accepting crypto payments extend to other luxury brands owned by the group, including Bottega Veneta, Cartier, Saint Laurent, and Alexander McQueen.
While Balenciaga has not decided on the solution provider to facilitate the crypto payments, it is likely to employ a similar method to Gucci. In addition, it is worth noting that Kering staff have already undergone training to streamline the process.