Japan's GMO Expands Cryptocurrency Business with Bitcoin Mining

Japanese online giant GMO Internet has announced its latest venture in the cryptocurrency space today - a Bitcoin mining business. GMO will operate a Bitcoin mining center in Northern Europe utilizing 7 nano-meter chips developed in collaboration with an alliance partner having semiconductor design technology.

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Explaining the decision to investors, GMO's management said: “We believe that Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term will develop into ‘new universal currencies’ available for use by anyone from any country or region to freely exchange ‘value,’ creating a ‘new borderless economic zone.

Under such situation, it is important for cryptocurrencies, including Bitcoins, to secure its reliability as currency in order for them to further develop and spread. In this regard, Bitcoins can be regarded as a distributed system whose credibility is secured by mutual monitoring by network participants, as opposed to legal currencies which are a centralized system whose credibility is secured by the issuer. And management of a distributed system such as Bitcoins requires a mining process.

Accordingly, we have decided to launch Bitcoin mining business to support sound management of Bitcoins by leveraging our accumulated know-how on Internet Infrastructure business and Internet Finance business, with an aim to contribute to development of cryptocurrencies.”

The management also explains that this will supply its subsidiary GMO Coin, Inc., with mined cryptocurrencies, through which GMO Internet Group will contribute to an increase in the Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term of the cryptocurrency market. GMO Coin is the group's recently rebranded cryptocurrency trading and wallet arm.