Google launches a blockchain device – let the speculation begin

The news: Google creates a new device dedicated to “blockchain and other next-generation distributed computing and data storage technologies”, according to a leaked email achieved by Bloomberg.

The blockchain unit will be led by longtime Google veteran Shivakumar Venkataraman, Bloomberg reports, and will sit in Google’s relatively new Labs division, which is also home to the company’s virtual and augmented reality research.

Key context: Global blockchain spending is forecast to reach nearly $ 17.9 billion in 2024, grows with a five-year compound annual growth rate of 46.4%. As interest in the technology grows, Big Tech is increasingly testing the waters for paid use.

• Meta (formerly Facebook) tries – and struggling– to get their cryptocurrency Diem from the ground. It launched Novi-WhatsApp link in mid-December with stablecoin PaxDollar instead of Diem.
• Twitter is experiment with crypto tips and NFTs.
• Amazon driver sin Managed blockchain service, which helps clients interact with public blockchains such as Bitcoin and Ethereum or scale their own private networks.

Google slowly waded into crypto and blockchain: Maybe it fears regulatory setbacks that it does not really need, Google prohibited ads for cryptocurrency wallets from its ad network until August 2021 and has resisted accepting cryptocurrencies for its products and services.

But this week, when discussing plans for the future Google Pay, Google Trade President Bill ready told Bloomberg that the company will merge with providers of “a wider range of financial services, including cryptocurrencies.” Over the past year, Google has partnered with several payment companies in the field of payments.

• In April, Google Pay announced a partnership with The twins which allows cryptocurrency exchange users to buy Bitcoin through Google Pay using fiat currency on a debit or credit card.
• In June, the technology giant arrived cooperation with Coin base, so that exchange customers can use Coinbase ZCard to pay for goods and services through Google Pay. Users can also earn crypto discounts of up to 4%.
• In October, a collaboration with Baked let the exchange’s customers buy goods and services using selected cryptocurrencies through their Google Pay wallet.

Why this is important: It’s too early to tell if Google’s blockchain efforts are more research-oriented– with the aim of supporting the infrastructure that meets its huge network and storage needs – or if it just wants to increase the transaction volume of Google Pay.

But mention of “blockchain” inevitably evokes the scenario of Google developing its own crypto. Google could distribute a blockchain in direct competition with JPMorgans Onyx project. Or Google’s blockchain can run platforms for metaverssuch as decentralized projects such as Decentraland and Sandboxes already inside use. All of these moves will be in line with 2022 prediction that the technology giants will not be deterred by Plex’s surprise and will continue to make great strides in financial services – and beyond.