Faraday Future Diversifies with Crypto and AI Amid EV Business Struggles

Faraday Future, a struggling EV startup, is pivoting to crypto and AI to attract capital and raise cash for its business. The company is launching a crypto treasury product and focusing on embodied AI to combine short-cycle crypto business with long-cycle electric vehicle technology. Faraday Future hopes to leverage these new areas to reinvigorate interest in its business, which has struggled with low production numbers.

Faraday Future Intelligent Electric Inc. (NASDAQ: FFAI), a struggling electric vehicle (EV) startup, has announced a significant strategic shift, pivoting towards crypto and AI to attract capital and raise funds for its business. The company, based in California, is launching a crypto treasury product and focusing on embodied AI to combine short-cycle crypto business with long-cycle electric vehicle technology. This move aims to reinvigorate interest in the company's business, which has struggled with low production numbers.

The company's new strategy, dubbed the "EAI + Crypto" Dual-Flywheel & Dual-Bridge Ecosystem Strategy, integrates Embodied AI (EAI) with the explosive growth of the crypto asset economy. This bold initiative, announced on August 16, 2025, at an event in Pebble Beach, positions Faraday Future at the forefront of the next era in global industrial and financial evolution.

The core of this strategy is the launch of the "C10 (Crypto 10) Treasury" product. This product is based on the "C10 Index," which tracks the world's top 10 crypto assets (excluding stablecoins). The C10 Treasury adopts an 80% passive + 20% active portfolio allocation model, aiming to provide sustainable returns that can fund product innovation, potential stock buybacks, and further asset growth. Faraday Future plans to use dedicated financing exclusively for the purchase of crypto assets.

The first phase of this new strategy targets up to $500M–$1B in crypto coin purchases, with an initial tranche of $30M to be initiated as early as next week. From the mid- to long-term view, the company hopes that this strategy could reach tens of billions in size.

Faraday Future is also exploring the creation of an ETF product based on the C10 Index. Additionally, a wholly owned subsidiary, FFAI Crypto Treasury and Bridging Holdings Inc., is being established for the crypto business.

California State Treasurer Fiona Ma expressed her endorsement of Faraday Future's new strategy, highlighting its potential to boost the economy, create high-quality jobs, and attract top-tier investment.

The Dual-Flywheel & Dual-Bridge Strategy positions Faraday Future as one of the first U.S.-listed public companies directly connecting real-world business operations with on-chain assets. Plans are underway to launch the EAI Vehicle Chain, enabling tokenized vehicle sales, crypto-based deposits, and Web3-native user engagement.

This strategic pivot is a significant move for Faraday Future, aiming to combine the long-cycle, high-value EAI EV ecosystem with the short-cycle, high-velocity Crypto ecosystem. The company believes that this combination offers a once-in-decades opportunity for transformation.

Faraday Future's new strategy reflects its deep insights into the future of the global economy. The company is not just transitioning into a Web3 era—it is architecting it. This move supports the Company’s long-standing commitment to maximizing stockholder value in a future-forward and sustainable manner.

Faraday Future's new strategy is a bold move that could significantly impact the company's financial structure and future prospects. However, it is essential to note that this strategy involves significant risks, including the volatility and regulatory uncertainty associated with cryptocurrency investments.

References:
[1] https://investors.ff.com/news-releases/news-release-details/faraday-future-launches-its-eai-crypto-dual-flywheel-dual-bridge