On August 25th, Jia Yueting posted on his personal Weibo that the first special $30 million financing commitment for C10 Treasury had been closed this week, and the first asset allocation was expected to start next week.
It is understood that “C10 Treasury” is the digital currency business of Faraday Future. Jia Yueting stated that “C10 Treasury” has obtained the first batch of $30 million in financing, successfully achieving the “dual-engine drive of capital and industry”. Faraday Future will adopt a “smooth fixed investment” approach and plans to fully allocate the entire $30 million in the coming weeks, with 80% passively allocated according to the C10 Index and 20% actively allocated.
In addition to disclosing that Faraday Future’s C10 Treasury project has obtained financing, Jia Yueting also revealed that the FX Super One collision test has initially achieved success, successfully completing the first round of development tests for the protection of the upper interior of vehicle occupants in accordance with the Federal Motor Vehicle Safety Standards (FMVSS). At present, the trial production of FX Super One is progressing smoothly, and approximately 60% of the trial production process compilation has been completed. FX Super One will officially launch the co-creation and sales in eight states across the United States this week.
Regarding the progress of FX Super One, Faraday Future officials stated that car manufacturing is an industry with a long cycle, heavy investment, and slow returns. One of the core challenges for FF’s success is how to ensure long-term and stable capital supply before the operating cash flow turns positive. The C10 Treasury plan will continuously and stably “inject blood” into the EAI EV main business by accumulating and compounding the global top ten crypto asset portfolios, truly achieving the dual-engine drive of capital and industry.
As is known to all, since Faraday Future started building cars, funds have always been tight. Previously, due to funding issues, its first model, the FF 91, did not start delivery until 2023. However, due to the high price, the sales volume of the FF 91 after its launch was not ideal. According to official news, the cumulative sales volume of the FF 91 after its launch did not exceed 30 units. The sluggish sales have also made Faraday Future’s capital chain even more tense. Relevant data shows that in the second quarter of this year, FF’s operating loss was approximately $48.1 million. In order to reverse the sluggish sales situation, Faraday Future’s second brand, FX, came into being. According to the official statement, the new brand mainly targets the market of $20,000 to $50,000, aiming to create a popular smart electric vehicle.
On July 17th, the first model of FX, the FX Super One, was unveiled and started pre-orders. The new car is positioned as a pure electric mid-to-large MPV, with a deposit of $100. It provides consumers with four-seat GOAT version, six-seat version, and seven-seat version for selection, and will roll off the production line at the end of this year.
Regarding the price of the new car, Jia Yueting, the founder of Faraday Future, once revealed that the price of the new car will be lower than that of the Cadillac Escalade, and 10,034 paid orders have been received during the press conference. For reference, the starting price of the Cadillac Escalade in the US market is approximately $90,000. Some industry insiders speculate that the starting price of the FX Super One is expected to be lower than $80,000. It is worth mentioning that before the debut of the new car, the official announced that it had obtained $105 million in financing, stating that the money would be used to launch the FX Super One and accelerate the development and delivery of products and AI-related technologies of the FF and FX brands.
Regarding Faraday Future’s development expectations for the second half of the year, the official stated that it will focus on technological innovation, financial control, as well as long-term business growth and sustainable development; it will firmly implement the seven core strategic goals from S1 to S7, adhere to the “Shareholders and Investors First” concept, continuously enhance investor trust, and fully boost market confidence. This time, Jia Yueting’s acquisition of another $30 million in financing undoubtedly provides a certain amount of financial security for Faraday Future’s subsequent development. However, if Faraday Future wants to quickly reverse the financial tension, it ultimately depends on the sales volume of its brand models.
