Last year’s photography company Eastman Kodak tried to bounce back through a different path from its original business. Kodak has just announced it will plunge into the world of cryptocurrency or digital currency.
Kodak shares rose 120 percent after the company announced it would launch its own digital currency called KodakCoin.
The United States will work with the London company Wenn Media Group in an initial coin offering (ICO).
KodakCoin is intended for photographers in protecting copyright over their work through the application of blockchain technology. Kodak also announced plans to install bitcoin minerals at their base in Rochester, New York.
Kodak launched their plan at the Consumer Electronic Show in Las Vegas. There they show a bitcoin mining tool called Kodak KashMiner. According to Kodak, consumers must pay money in MKA to rent KashMiner. KashMiner’s operation will be run by Spotlite, a Kodak partner engaged in LED lighting. Bitcoin produced from KashMiner will be shared with miners who rent equipment and Kodak. Kodak has considerable strength, a legacy of its prime, which can be used to efficiently utilize bitcoin. To rent KashMiner, the consumer must pay US $ 4,000 for 24 months with a promise of US $ 500 profit per month (based on the current bitcoin rate).
This investment looks dangerous because some observers think that bitcoin bubbles will soon break. However, this does not dampen the interest of people who want to become miners.
“Currently we have about 80 miners and it is estimated there will be another 300. Demand for this tool is quite large,” Halston Mikail of Spotlite told the BBC.
Garrick Hileman, an economic observer from Cambridge University, said that the phenomenon of cryptocurrency was similar to the euphoria of dot com in the 1990s, where Internet company stocks rose high but then were not worth at all. He considers that the current bitcoin leads to the bubble region.
“Looking at the crypto movement, there seems to be a bubble (bubble) trend, but there are no certain bubbles but crypto investment market looks fragile,” he said.