It’s a big surprise that a giant tech Like Samsung is entering crypto space with the investment of $2.9 million in crypto hardware wallet manufacturer and custodial service provider Ledger in a high-profile deal. We recognize ZenGo as a startup developing keyless crypto wallets where Samsung invested $4 million prior to the above one. Though Samsung is the largest tech giant hopefully it’s access to crypto world would inspire long-time crypto investors.
Causes of Investment
Samsung is testing Samsung coin and an ERC20-based blockchain protocol on top of the Ethereum blockchain. According to the info of a company insider Blockchain task force made several models and is evaluating them and there are already several platforms that are functioning after some internal tests. Though several smartphone manufacturers can realize that the crypto market is becoming sensible, if Samsung is willing to launch their own crypto asset they should have integrated a crypto wallet into their Samsung Galaxy s10. But hopefully Samsung is willing to launch an ERC20 token primarily for business-to-business (B2B) operations. But may be the popularity of Ledger forced Samsung to get involved. The company is inviting both institutional investors as well as retail investors as a crypto custody provider. We know that retail investors entrust their crypto to a ledger and it conversely create a trust also in the institutional investors indeed. Ledger raised $75 million driven by Tim Draper, Boost VC, and Draper Esprit a year ago. At the time, ledger said that the funding round was oversubscribed and that it was the greatest series B round in 2018. With a view to developing the round’s operations in hardware manufacturing and retail investor support the round is protected by the company. They are aggregating their operating system in a hardware security module for ensuring high security. Including multiaccounts, multisignature and some other unique features are going to be attached with the system.
Desire of More Deals
We know that Samsung is already engaged with many crypto-related deals like with mining equipment manufacturing business and other crypto ventures. The company is accomplishing it’s goal in such a manner that hopefully it will eliminate the boundaries between cryptocurrency and mainstream users indeed. The company made partnership with ZenGo and Ledger because the company knows well that those company will ease the process of using cryptocurrencies in day-to-day operations.