The South Korean tech behemoth, Samsung is venturing further in the cryptoverse as rumors suggest that it may be engineering a public-private blockchain complete with a native cryptocurrency token.
Samsung is the largest conglomerate in South Korea, dominating many of the country’s major sectors, including insurance, online payment, asset management and of course electronics. The company now seems to be delving into the crypto space expanding its market.
An anonymous source revealed to the crypto industry news outlet that Samsung’s wireless division task force is working on developing a blockchain network that will be based on the Ethereum (ETH) blockchain.
Currently, we are thinking of private blockchain, though it is not yet confirmed. It could also be public blockchain in the future, but I think it will be hybrid – that is, a combination of public and private blockchains.
However, the source did point out that the project is only in the “internal experimental” stage, meaning it could be while before it is officially rolled out. In addition to that, we might also see the entrance of the Samsung Coin in the crypto market accompanying the blockchain project. But that seems to be further down the road as the company’s main focus for now is on developing the blockchain network.
The market expects Samsung Coin to come out, but the direction has not yet been decided.
However, it is all very speculative right now, as the news isn’t officially confirmed by Samsung itself.
Samsung’s Crypto and Blockchain Endeavors
Both the Samsung Coin and the blockchain project don’t come as much of a surprise considering the company’s active involvement in both crypto and blockchain spheres.
Only last year, Samsung was reportedly entering the cryptocurrency mining market with a line of ASIC chips. ASIC chips, or application-specific integrated circuits, are chips that are tailor-made to perform a specific task as efficiently as possible. Even though the company was not at liberty to disclose details regarding their customers, rumors stirred in the market suggesting Samsung struck a deal to provide chips to the Russian mining company Baikal.
The systems integration arm of Samsung, SDS, launched the blockchain security platform Nexledger back in 2017. Since then the platform has been widely used in finance, manufacturing, logistics and other areas.
With an aim to empower organizations to take charge of transactions securely and efficiently, Nexledger equips them with the right solutions to grow their business. It was even trialed by the Korea Customs Service in its export customs logistics services earlier in April.
Galaxy S10’s Crypto Wallet
Samsung has finally rolled out the much awaited Galaxy S10, becoming the first major smartphone makers to include a cryptocurrency wallet in its latest flagship. The wallet is compatible with Ether (ETH) and Ethereum-based ERC20 tokens. Additionally, it offers support to Bitcoin (BTC), Cosmee (COSM) and Enjin (ENJ).
Even though a Samsung Coin is just an idea floating in the market right now, proponents have many theories regarding it. Some are convinced that the integration of the crypto wallet in Samsung’s latest edition could be foreshadowing the company’s native cryptocurrency.
While some believe that the Samsung Coin could rival Apple’s newly announced Apple Credit Card or the Apple Card, Samsung and its recent ventures in the cryptocurrency ecosystem single it out as one of the first major mobile companies to embrace the new technology.
Samsung has held 20 – 30% of the smartphone market since 2012, however, it shares the market with its “arch nemesis” Apple. And the prospect of a Samsung Coin could be the perfect response to the Apple Card. The card, as per the official announcement, will work in conjunction with Apple Pay, the company’s very own payment platform, and the iPhone. The whole concept behind the card is to enable users to make use of a credit card payment method without actually having a physical credit card.
Will Apple Follow Suit and Delve into Crypto?
One would assume that Apple would follow Samsung’s footsteps in order to stay in the competition as they slug it out for market dominance, but that isn’t the case. There are a couple of factors that hint at Apple’s indifference towards Samsung’s crypto endeavors. First and foremost is their Apple Card, which is set for release later this summer.
The card will be giving the community key benefits such as rebates on purchases, no annual, late or international fees, as well as more detailed data on card spending which will enable the customer to see what and where a specific transaction took place. In short, Apple is providing features similar to the crypto ecosystem without actually involving cryptos.
Secondly, Apple Pay Cash is essentially Apple’s peer to peer cashless ecosystem, utilizing a virtual card stored in a digital wallet used for instantaneous peer to peer transactions, which again sounds a lot similar to what cryptocurrency is all about. It could very well be Apple’s answer to cryptocurrency. It appears Apple really doesn’t feel the need to delve into the crypto space.
Samsung’s Involvement in the Crypto Space
Samsung seems to have grasped the importance and potential of the crypto ecosystem. According to an assessment by Synergia Foundation, a platform that provides analysis and assessment of geopolitical events based on real time information, suggests that even though the cryptocurrency market is viewed as highly volatile, more companies and governments are working to adapt to cryptocurrencies as they continue to be popular. The challenge with governments will be in regulation. Samsung has recognized that cryptocurrencies will be viewed as hard cash in the future and have begun working towards capitalizing and monetizing them.
The integration of crypto by successful industrial giants like Samsung has the potential to influence other top players in the market, which will ultimately pave the way for cryptos’ mass adoption.