Growth in the world of crypto has been significant lately. From China softening its stance on crypto to retailers accepting Dogecoin, it has been a time of immense excitement for fans of the digital currency.
For the very first time, a telecommunications company has decided to invest in crypto. German phone powerhouse Deutsche Telekom has decided to invest in Celo network, a start-up company whose specialty is offering crypto on smart phones.
How Huge is Deutsche Telekom Investment ?
The exact amount invested has not been officially disclosed by either party but those in the know say it is huge. A company executive of Germany-based company disclosed that the investment is in significant proportion. Deutsche Telekom will also invest in Celo networks infrastructure that is working on building a Venmo-like P2P platform.
While it has been 4 years since its launch, the crypto firm has kept a relatively low profile in the industry. However, that is not going to be the case going forward as it recently had a $20 million funding round with the help of venture capital companies. Also, Celo network recently reached 310,000 wallets worldwide. Plus with the recent investment, the firm is going to be in the spotlight.
Celo has a tool which allows the phone numbers of its users to be matched with the public key of a blockchain wallet. This means that users only need to own a smartphone to be able to access crypto.
It is important to note that the telecom giant is “investing in the decentralized network Celo is building, rather than the company itself,” according to its corporate executive, Andreas Dittrich.
Dittrich also added that
The telco giant has made a major strategic shift in its approach to crypto, moving from a narrow focus on the HyperLedger protocol to exploring blockchains of all sorts.