News hardware Despite the drop in Bitcoin, Google is betting big on cryptos
The more we advance in the history of blockchain technology, the more it faces massive adoption by many companies. Announced as the revolution at the center of the web3, this innovation is also subject to investment by web2 giants, like Google.
Google invests heavily in blockchain and cryptos
Although Google has remained discreet about its involvement in web3, the American web giant seems very invested in the subject. Unlike Facebook, the Silicon Valley company hasn’t spoken much about new blockchain-centric uses of the Internet.
However, as Facebook transformed into Meta, Google invested billions in the new technologies that will populate the Internet of tomorrow. To do this, Google has injected massive capital into start-ups in the blockchain sector through its Alphabet structure.
Alphabet has invested nearly $1.56 billion in the period from September 2021 to June 2022. This initiative aims to finance the future giants of web3, the internet of tomorrow (or today). Specifically, the structure has invested in:
- FireBlocks (digital asset storage and transfer platform)
- Dapper Labs (NFT company in the video game sector)
- Voltage (Bitcoin infrastructure for businesses)
- Digital Currency Group (cryptocurrency capital company)
By incubating start-ups specializing in cryptos and blockchain, Google’s goal is to keep an eye on future projects that may invade its search engine and browser in the future. In this context, the brand could already prepare functionalities and services compatible with this new generation of the web.
This news may seem surprising when we know that the American company had expressed some skepticism towards the technology some time before.
Web3, what changes?
By getting financially involved in the construction of web3, the Internet giant wants to lay the foundations, as it did initially for web 1 and 2. To understand Google’s interest, it is important to take stock of the different generations of the web.
Appearing in the 1990s, web 1.0 is the beginnings of the Internet. This generation of the web is mainly defined by free access pages with little interaction, allowing Internet users to consult information online on Yahoo or AOL.
Then, we talk about Web2 for the early 2000s. A more permissive Internet for users supported by the arrival of giants like Google or Facebook. The user then became for the first time a real actor of the web by publishing content on blogs, social networks or forums.
Web3 is the worthy successor to web2. This generation, which appeared after the creation of Bitcoin, refers to a more decentralized internet, not belonging to any large company. The ultimate goal of web3 is to integrate the innovations of web2 and replace intermediaries with blockchain in order to obtain direct interactions between individuals. Concretely, this Internet still at an embryonic stage should offer Internet users the choice of being able to monetize their content with cryptocurrencies and exploit their property rights on the web thanks to NFT. All complemented by a 3D virtual world, more commonly known as metaverse.
Although the definition does not yet seem optimal, several companies are also supporting Google in this transition.
Google isn’t the only giant investing in crypto
This initiative is part of a fundamental trend since several digital giants are investing in the blockchain sector. According Blockdataamong these big investors we find:
- Samsung for $979 million
- PayPal for $650 million
- Microsoft for $447 million
While the majority of companies financed are specialized in the exchange of crypto-assets, we note that the video game sector and NFT trading platforms are also an investment of choice for these giants.
Although the overall value of the cryptocurrency market has taken a hit following the fall of Bitcoin, the injection of billions into the ecosystem demonstrates the enthusiasm of the biggest companies towards this sector. By investing so much, it is clear that companies are positioning themselves in a logic of sustainable development of web3.