2015 might be the year of the Bitcoin start-up 21 Inc. The record-holder for the most well-financed Bitcoin company in history, 21 Inc.’s $116 million venture capital treasure chest is now starting to bear fruit. Today, 21 Inc. has released plans for their new and revolutionary Bitcoin mining chip called the 21 BitShare, according to the Wall Street Journal.
21 Inc has a very innovative view of the future called “embedded mining”. In this company model, consumer devices like smartphones will be mining Bitcoin silently in the background while receiving small distributions from a managed pool of bitcoin earnings. This evolving vision of the future leads to a new “infinite stream of digital currency,” creating a growth of micro-transactions. This model will facilitate a new form of digital commerce and interconnectivity that the current traditional financial system can only dream of.
“Bitcoin will ultimately be seen as a fundamental system resource on par with CPU, bandwidth, hard drive space and RAM,” states Mr. Srinivasan in the company’s blog. It’s a notion of “Bitcoin for convenience, not profit.”
Also read: IBM and Federal Reserve Want to Create a Bitcoin Knock-Off
The company looks to make the bulk of its profits from chip sales, but also sees a model where they share the mining profits with users. A profit-sharing program can work as a subsidy for users over the long-term, helping to pay for expensive technology.
“The iPhone’s subsidy model allowed a reduced upfront price point, allowing millions of people to get started with a smartphone without a down-payment. We believe the 21 BitShare chip will enable a new generation of bitcoin-subsidized devices to help get the next 1 billion online,” said a 21 Inc. spokesperson.
In other news, 21 Inc., is also announcing that former Treasury Secretary Lawrence H. Summers will be joining their advisory board. Also, tech industry superpower Cisco Systems Inc. and Mark Templeton are new 21 Inc. investors.
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