Bitcoin (BTC) Price Consolidates Around $50,000 as Oil Billionaire Commits to Invest in Cryptocurrency

By Luigi Wewege Monday, March 8, 2021

Bitcoin (BTC) price is trading around the $50,000 mark as the price action continues its consolidation near the record highs. The cryptocurrency ecosystem was boosted after two more companies joined Tesla in investing in cryptocurrencies.

Digital illustration of Bitcoin symbol.

Aker ASA and Meitu Join the Cryptocurrency Party

Oil billionaire Kjell Inge Rokke, who controls the oil and construction business giant Aker ASA, has set up a new company to invest in cryptocurrency, specifically BTC.

The new company, called “Seetee AS,” has been equipped with NOK 500 million ($58.2 million) to follow Tesla and invest in Bitcoin. According to the official statement, the cryptocurrency business has four goals:

  • Investing in and owning BTC
  • Joining the Bitcoin and broader blockchain community and establishing partnerships with leading players
  • Launching BTC verification operations
  • Building and investing in innovative projects and companies in the Bitcoin and blockchain ecosystem

The company said it aims to keep all its liquid investable assets in the cryptocurrency.

"With the launch of Seetee, the Aker Group makes another move into software and fintech. We are very excited about the industrial opportunities that will be unlocked by Bitcoin and blockchain technology, and want to contribute forcefully to that effort. These technologies have the potential to reduce frictions in our day to day lives, enhance the security of our digitally driven economies, and unlock new business models for innovation," said Øyvind Eriksen, president and CEO of the Norweigan company.

As a first step, Seetee has partnered with Blockstream, a major Canada-based player in the BTC and blockchain field, to focus on mining operations. The blockchain company provides businesses access to the “most mature, well tested, and secure blockchain technology.”

Oil entrepreneur Kjell Inge Rokke wrote an additional letter to Aker ASA shareholders to support the BTC investment. The world’s largest cryptocurrency may go to zero, acknowledges Rokke, but it may also “become the core of a new monetary architecture.”

In separate news, Chinese company Meitu, which is behind the popular selfie and photo-design app under the same name, announced it invested $40 million in Bitcoin and Ethereum (ETH).

“The Board believes cryptocurrencies have ample room for appreciation in value and by allocating part of its treasury in cryptocurrencies can also serve as a diversification to holding cash (which is subject to depreciation pressure due to aggressive increases in money supply by central banks globally) in treasury management,” Meitu said in a statement.

Moreover, the tech business said it is currently evaluating whether it can integrate the blockchain technology into its various overseas businesses.

Meitu stock initially gained nearly 15% on this news before rotating lower to close more than 6% in the red in Hong Kong today.

Summary

Norweigan oil business giant Aker ASA and Chinese tech company Meitu both committed funds to invest in Bitcoin and cryptocurrency.

About the Author


Headshot of Luigi Wewege

Luigi Wewege is the Senior Vice President and Head of Private Banking at Caye International Bank. Outside of the bank, he serves as an instructor at the FinTech School which provides online training courses on the latest technology and innovation developments within the financial services industry. Luigi is also the published author of "The Digital Banking Revolution."

Related Articles