Amazon is stirring up speculation that the online retailer is moving into cryptocurrency by their recent purchase of three crypto-related domains.
The world of cryptocurrency has been scorching hot recently, as is evident by the market cap of cryptocurrency hitting a new high of over $187 billion. Now it appears that the temperature is even going to get higher as CNBC is reporting that online behemoth Amazon has purchased three domain names related to cryptocurrency.
A Big Move Into Cryptocurrency?
Speculation is running rampant (as it always does) that Amazon may be planning on entering the cryptocurrency world. The three new domains that Amazon picked up are: amazonethereum.com, amazoncryptocurrency.com, amazoncryptocurrencies.com. The corporation already owns the amazonbitcoin.com website.
The VP of Amazon Pay, Patrick Gauthier, told CNBC last month that Amazon has no plans on accepting cryptocurrency as there’s been no real demand for it. This is probably true as the vast majority of online purchases are done via debit and credit cards, as well as payment processors like PayPal. Plus, there’s the volatility of cryptocurrency to consider. While individuals who hold Bitcoin love to see jumps of 10% or more, most businesses prefer a much more stable currency.
Amazon’s Potential Impact Upon Cryptocurrency
As for the domain names secured by Amazon, it’s likely due to them just securing the sites to protect their brand name. Many companies snatch up sites using their name in order to keep others from using them.
However, I can definitely see Amazon moving to accept cryptocurrency in the future. As more and more businesses accept Bitcoin and other digital currencies, Amazon will have to move to do the same in order to keep their insanely huge market share intact. Not to mention that the cryptocurrency market cap continues to explode. Bitcoin now has a higher market cap than major companies like American Express, Nike, and United Technologies.
If, or when, Amazon moves into cryptocurrency. it’ll have a major impact. When a rumor that Amazon was going to accept Bitcoin popped up a few weeks ago, the price of Bitcoin jumped. I honestly can’t imagine Amazon not eventually moving to accept cryptocurrency. Their whole method of operation is to crush the life out of their competitors, so they’ll have to adopt cryptocurrency if enough competing businesses do. When that happens, I hope I have a lot of Bitcoin sitting in my wallet for the surge that’ll take place.
Do you think Amazon is moving into cryptocurrency with these new domains or are they just protecting their brand name? Let us know in the comments below.
Images courtesy of Pixabay and Flickr.
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