Amazon is stirring up many speculations online that the giant ecommerce retailer is joining the cryptocurrency world by their recent purchase of three crypto-related domains.
According to information, three domains were recently purchased -“amazonethereum.com,” “amazoncryptocurrency.com” and “amazoncryptocurrencies.com” – which were registered on October 31. The domains are ranked to Amazon Technologies, Inc., a subsidiary of Amazon.com, Inc. that has been attributed to past patent filings from the e-commerce company.
Phone numbers listed on the registration documents connect to Amazon’s legal department, though a representative of that office could not be reached by press time. At this time, it’s not entirely clear what purpose the domain names will serve. There are no official statements yet or announcements as to the purpose or route the company is taking with their recent purchase of these cryptocurrency-related domains.
According to DomainNameWire, Amazon may be simply moving to safeguard its brand. Many giant companies are doing the same strategies to protect their respective brands. Back in 2013, Amazon secured “amazonbitcoin.com,” which currently redirects to Amazon’s main page – an arrangement that further suggests the protective intent of the registration.
The world of cryptocurrency has been on a spike, it has been hotter than ever, as is evident by the market cap of cryptocurrency now hitting a new high amounting to over $187 billion.
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 recently being done via debit and credit cards, as well as payment processors like PayPal. Plus, there’s the volatility of cryptocurrency to consider; among others. While individuals who hold Bitcoin love to see jumps of 10% or more, most businesses prefer a much more stable currency.
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. This is just one way of thinking ahead of competition.
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 definitely have a major impact on the financial market. 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, we just have to make sure that we have lots of bitcoins to invest.