Amazon recently sent speculations flying about possible involvement in cryptocurrency. It all began with its purchase of three domains related to the topic. The online marketplace registered amazoncryptocurrency.com, amazoncryptocurrencies.com, and amazonethereum.com, sending the rumor mill into high gear.
Not the First “Amazon Cryptocurrency Sites”
The potential motivation for the domain purchases have been broad, to say the least. To some, it seemed safe to assume that Amazon is seeking its first foray into cryptocurrency. Official confirmations of that assumption or of the shape it would take have not been made.
Among the most popular theories is a possible partnership between the ecommerce giant and Ethereum, based on the last of the three domain purchases. That said, others have suggested that the amazonethereum.com domain suggests a new Amazon platform that would accept Ethereum based payment transactions.
Still, the other two domains have led industry experts and analysts to suggest the possibility of Amazon’s own cryptocurrency, such as a coin or even a coin exchange.
And yet, while this may appear to be an exciting new Amazon move, it might not actually represent anything novel. It isn’t, after all, the first time the company has purchased domains relating to cryptocurrency. In fact, the first crypto-related domain purchase by the company was made nearly three years ago when it bought amazonbitcoin.com, which currently redirects to the amazon.com homepage.
A Future Amazon Crypto or Mere Brand Defense?
Still, before speculations are taken too seriously, it is important to remember that Amazon Vice President Patrick Gauthier recently spoke in a CNBC interview saying that the company has no intentions to accept cryptocurrency based payments. He cited a lack of adequate interest and demand as the reason Amazon isn’t presently looking in a crypto direction. If what Gauthier said is correct, then the company’s domain purchases may have been nothing more than an effort to protect the brand’s name use.
What is certain is that any time the international titian even acknowledges the cryptocurrency ecosystem, Bitcoin’s price receives an immediate shot in the arm. While that effect never really lasts, even the most baseless rumors – such as last month’s groundless claim that Amazon would be purchasing that company – consistently impact the price in that way.
For now, it appears as though these most recent domain purchases may not lead to anything. However, at the same time it does mean that foundations are being laid in case Amazon should ever change its mind about pursuing the crypto world.