Semiconductor chip maker Intel could enter the crypto space. The Company purchased approximately $ 800,000 in shares of the Coinbase (COIN) exchange on June 26, 2021. That’s according to a report filed with the U.S. Securities and Exchange Commission (SEC), according to financial news website Barrons.
According to Form 13F filed with the U.S. regulator, Intel holds 3,014 Class A common shares of crypto company Coinbase Global Inc. The report also lists other stock investments by the chipmaker in companies such as Maxlinear Inc. (MXL), Shift4 Payments Inc. (FOUR) and McAfee Corp (MCFE).
Intel owns over $ 100 million in publicly traded holdings, according to Barrons. Therefore, the company had to disclose these investments to the Commission. The report speculates on the possibility that Intel may have bought the shares in advance before Coinbase debuted on the U.S. stock market in April 2021.
Although this is Intel’s first major investment in a crypto-related company, the chipmaker has been showing interest in Bitcoin, cryptocurrencies and blockchain technology for years. In 2019, the company filed a patent on Bitcoin mining.
The document filed with the US Patent and Trademark Office describes a “system-on-a-chip (SOC)” that optimizes the power consumption of BTC miners. The company was granted the patent.
In addition, an official blog post on the company’s website describes the underlying technology that supports Bitcoin. In the post, Intel tries to describe how this technology can be used in many business areas:
“The value of blockchain lies in its ability to provide a secure platform for exchange while reducing the cost and complexity of transactions by eliminating the need for middlemen and third-party verification. Blockchain has the potential not only to transform the exchange of assets and data, but also to transform business processes, trade, economic and social systems.“
Shares of the crypto exchange Coinbase are experiencing a comeback
Previously, Coinbase had published its quarterly report. The platform exceeded all expectations and was able to reach a trading volume of 462 billion dollars. As a result, the price of COIN recovered from the lows at $ 200 to almost $300.
The earnings report also shows an increase in institutional demand for cryptocurrencies – especially Bitcoin (BTC) and Ethereum (ETH). The latter surpassed BTC for the first time in terms of trading volume on the platform.
“BTC and ETH still account for ~50% of our trading volume. The other 50% is the long tail of all other assets. None of these long tail assets account for more than 10% of our trading volume.“
Currently (time of this article) BTC is traded at $ 47,640 with a gain of 3.6% on the daily chart.
Text credit: Bitcoinist
Last updated on August 14, 2021
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