Microsoft is now heavily investing in Bitcoin-style encryptions that take advantage of blockchain technology used in cryptocurrency, according to Engadget. The move comes shortly after banks began to set their eyes on the currency, as previously reported by HNGN.
The multinational technology company will be partnering with Brooklyn-based startup ConsenSys in order to integrate the technology into financial institutions, according to Business Insider.
"Microsoft and ConsenSys are partnering to offer Ethereum Blockchain as a Service (EBaaS) on Microsoft Azure so Enterprise clients and developers can have a single click cloud based blockchain developer environment," said Marley Gray, Director at Technology Strategy U.S. Financial Services. "Ethereum is real and has a vibrant community of developers, enthusiasts and businesses participating."
In addition to being able to handle cryptocurrency, blockchain technology can also allow companies to secure and verify data exhanges, giving it the potential to be a valuable technology even outside of the financial industry. Microsoft claims that as of now, many companies are "just scratching the surface of what can be done when you mix cryptographic security [with the] reliability of blockchain."
With CEO Satya Nedella's focus on cloud-based services that focus on connecting with users rather than bringing users to Microsoft, the move towards investing in Bitcoin comes as no surprise and aligns with this goal. Many see this focus on cloud-based services as a response to the diminishing interest in the company's Windows operating system, according to Tech Times.
