Samsung is entering the crypto space

To establish itself in the crypto market, the South Korean electronics group is focusing on several areas: in addition to its own crypto exchange, Samsung is working on several blockchain apps and developing mining chips.

Crypto apps galore

Users of the mega-company’s devices have been able to enjoy blockchain apps for a long time. For example, the Samsung Blockchain Wallet contains several important functions at once. On the one hand, there is a separate “blockchain newsfeed” in the application, which aims to keep users “up to date with the latest news in the blockchain world”. A support feature and the ability to send cryptocurrencies from A to B is common among crypto apps. There is also the option of connecting your own Ledger Nano S or Nano X as a little extra.

In contrast to the storage on the Ledger Cold Wallet, Samsung offers to store users’ private keys. The protection of Samsung Knox and the Trusted Execution Environment (TEE) should protect the data from attacks. Nevertheless, risks cannot be ruled out, as research from the University of Oxford shows.

However, users are still at risk of exploitation through various types of software vulnerabilities – suggesting that organizations have not provided the necessary protection despite the use of existing isolation technologies.

University of Oxford

As the private keys are of critical importance to the assets stored on the wallet, careful consideration should be given to storing them online. Alongside this, Samsung offers customers the opportunity to “explore, explore and become part of a growing ecosystem” in the decentralized world. More on this here.

Pioneers in the mining industry

In addition to apps, the electronics giant is developing nanochips that would make Bitcoin mining significantly more cost-effective and less power-intensive. According to an announcement at the end of June, work is being done on state-of-the-art 3 nanometer chips.

An initial customer is said to be AISCs maker PanSemi. The chips could then be built into the Bitcoin mining hardware. Samsung states that the optimized “3nm process” would reduce power consumption by 45 percent. The performance is 23 percent more efficient than the “5 nm process”. Incidentally, a nanometer is to a meter as the diameter of a 1 cent coin is to the globe. How exactly the hashrate and actual power consumption of the Bitcoin network will change during this cannot yet be determined.

Own crypto exchange in progress

Bringing us back down to earth is news that Samsung Securities is looking to launch a crypto exchange in partnership with six other South Korean companies in the first half of next year. According to Korean media company News Pim, the necessary talks for the fund are currently being completed.

Already in 2021, Samsung had initiated the establishment of a crypto exchange. “At the end of last year, they tried to find workers to take over the development and operation of the security token trading platform and the development of smart blockchain contracts, but could not find employment,” according to the news outlet.

If the stock market goes public, it could come under close scrutiny under the eagle eye of South Korea’s Financial Services Authority (FSS). After the cinematic Terra debacle, local authorities began investigating the CEO. BTC-ECHO reported.

“Samsung Coin” coming soon?

Samsung has been in the crypto space for years. The research and development that the company is doing on crypto technology seems endless at first. The Seoul-based group is also doing well on the investor side. A recently published study shows participation in 13 different crypto companies. You can find out more here.

Already in 2019, there were rumors that the electronics manufacturer could work on its own blockchain. Earlier this year, it partnered with a Cardano project to plant two million mangrove trees in Madagascar. Whether for economic or ideological reasons: Samsung is bullish.

Want to buy cryptocurrencies?

eToro offers investors, from beginners to experts, a comprehensive crypto trading experience on a powerful yet easy-to-use platform. We took a closer look at eToro.

For eToro review

Leave a Comment