Samsung Has Invested $2.9 Million In Cryptocurrency Hardware Wallet Startup Ledger
Samsung has reportedly invested up to 2.6 million euros (roughly $2.9 million) in cryptocurrency wallet maker Ledger.
A press statement by French-based business publication Capital revealed that Samsung’s entry as one of Ledger’s investors means that wallet manufacturer is now valued at $290 million.
A Ledger spokesperson had previously confirmed Samsung’s backing but had failed to provide any specific details.
However, Ledger has since released a statement published this Thursday acknowledging Samsung’s investment. The company noted that the deal was completed via the South Korean firm’s venture arm Samsung Ventures.
Ledger said that the outlay would add value and enhance the crypto company’s global position as a top security solutions provider. The startup also confirmed that it would maintain its innovativeness in the hardware wallet marketplace as it seeks to satisfy growing demand within the mobile market.
Samsung’s deal with Ledger comes shortly after the latter promoted Pascal Gauthier as the startup’s CEO.
The crypto startup has had two funding rounds, managing to raise $7 million in 2017 from Series A investors. It then raised a whopping $75 million in 2018 for its Series B round.
It is not immediately known if the Samsung investment forms part of another funding round as neither company has provided further information.
Éric Larchevêque, Ledger’s newly appointed executive chairman, also confirmed the circulating reports as true moments before the company released a statement on the same. Larchevêque is the company’s co-founder and has previously served as the startup’s CEO.
His tweet regarding the development lends credence to the reported $2.9 million investment. Roughly translated from French, the tweet said that hardware wallets will always be in demand.
He, however, continues that for mass crypto adoption to occur, “the smartphone will [actually] play a central role.”
Ledger has partnered several financial institutions and other business ventures on a project targeting custody options. It is also working with Japanese bank Nomura to launch a custody service by 2020.
The startup recently partnered Legacy Trust, a licensed and regulated firm based in Hong Kong, to develop a custody solution for ERC20 tokens.
Samsung, on the other hand, has over the past year or so upped its efforts regarding cryptocurrency and the underlying blockchain technology space. The company recently revealed a suite of crypto-related features that will be incorporated in its latest smartphone, the Galaxy S10.
Other than the highly anticipated crypto wallet features for the S10, the company is also reportedly working on a native blockchain that is modeled on that of Ethereum.
Representatives of the electronics giant had not availed any details regarding the multi-million investment by the time of press.
Disclaimer: This is not investment advice. Cryptocurrencies are highly volatile assets and are very risky investments. Do your research and consult an investment professional before investing. Never invest more than you can afford to lose. Never borrow money to invest in cryptocurrencies.