Intel, which produces semiconductor chips, wants to make money on cryptocurrencies. The company bought 800,000 in Coinbase exchange shares.
CoinBase is one of the many trusted cryptocurrency exchanges that have skyrocketed in popularity; as digital currencies gain more and more investor attention. Platform offerings include Bitcoin, Ethereum, Binance Coin, and Dogecoin.
Intel owns 3,014 Class A shares of Coinbase and McAfee, as indicated on Form 13F; which filed with the Securities and Exchange Commission. Thus, the purchase discovered as part of a filing with the US Securities and Exchange Commission (SEC). It is noteworthy that Intel did not immediately report this event.
The company, which has been a major player in computer data processing for decades; won a patent three years ago for a system designed to improve the efficiency of Bitcoin mining. Intel’s purchase of Coinbase shares seems to be a bet on the cryptocurrency market. This is due to the fact that the value of stock exchange shares tends to change along with the prices of the cryptocurrency.
Intel now has more than $ 100 million in public investment, according to the company’s manufacturers. That is, the company obliged to inform the Commission about it. The report also indicated that Intel may have pre-purchased shares before Coinbase went public in April 2021. It is possible that Intel may have previously repurchased the shares prior to the exchange’s public market debut. On the first day after the placement of Coinbase shares; the company’s capitalization grew to $ 112 billion, so Intel’s share in the exchange’s capital is very modest.
Intel has been interested in cryptocurrency for a long time
Despite being Intel’s very first major investment in cryptocurrency, the chipmaker has been interested in Bitcoin and blockchain technology for a long time. The company known to have already applied for a patent for Bitcoin mining in 2019.
The document, which submitted to the United States Patent and Trademark Office, identified a system that optimizes the power consumption of Bitcoin miners. The company granted a corresponding patent for this system.
Also on the company’s website, you can familiarize yourself with the underlying technology that supports Bitcoin. The document indicates how the technology used to develop various sectors of the economy, not just the cryptosphere.
It is worth noting that the Coinbase platform itself showed record profits in the second quarter. Trading volume also rose to $ 462 billion, pushing the COIN price up from $ 200 to nearly $ 300. The exchange report showed that institutional investors are showing significant interest in cryptocurrencies, especially Bitcoin.
It is not surprising that large companies are trying to make money in this area, and Intel’s desire to enter the field of cryptocurrencies and get income from it. It can be noted that the more large corporations enter the cryptocurrency economy, the more stable the cryptoeconomy itself will be. And the main drawback of the cryptosphere is that volatility can gradually lose its influence on the value of assets on exchanges. In turn, increased competition will allow more sustainable solutions related to cryptocurrencies to introduced to the market.