Atari Reveals It Will Create Its Own Cryptocurrency, Shares Jump to 5-Year High

Atari is a well-known company among gamers. It’s perhaps best known for some its successful titles, including “Pac-Man” and “Space Invaders”. The company, according to Bloomberg, is now jumping on the cryptocurrency bandwagon, as it will even create its own cryptocurrency, the “Atari Token.”

The Paris-based company reportedly purchased a stake in a company that’s creating a blockchain-based digital entertainment platform. According to Boursier, said company is Infinity Networks, Ltd. Its platform is set to provide users access to various forms of entertainment, including video games, movies, and music.

As part of the agreement Atari signed with Infinity Networks Ltd, it’s set to create its own cryptocurrency, the Atari Token. The token will likely become the native currency of the blockchain-based platform, so as to bolster adoption.

Not only that, Atari also expanded its partnership with online casino-gaming company Pariplay Ltd, so as to allow gambling with digital currencies. This will allow the PariPlay’s users to not only gamble with fiat currencies, but also with “most cryptocurrencies”. To broaden the appeal of these online casinos, Atari will launch a “pong token”, dedicated to them.

Atari’s chairman and chief executive officer, Frederic Chesnais, stated:

“Blockchain technology is poised to take a very important place in our environment and to transform, if not revolutionize, the current economic ecosystem, especially in the areas of the video game industry and online transactions. Our aim is to take strategic positions with a limited cash risk, in order to best create value with the assets and the Atari brand.”

In light of Atari’s move into the cryptocurrency industry, its shares jumped to a 5-year high, coming close to €1 per share, up from little over €0.4 since the beginning of the year.

Benefiting from the cryptocurrency ‘craze’

Atari is notably not the only company that saw its shares surge after announcing a move into the cryptocurrency space. As covered by Core Media, American photography titan Kodak recently entered the crypto world by announcing its own cryptocurrency dubbed “KodakCoin.” After announcing the move, its shares jumped.

Another company, Long Island Iced Tea Corp, saw its shares skyrocket by 200% after claiming it was changing its name to Long Blockchain Corp. RenRen, a Chinese social media platform, witnessed a 50% growth in the value of its shares after revealing it was launching an ICO.

Some critics use these companies as examples to claim that Bitcoin is in a bubble. Notably, whenever any company announces that it’s branching into the cryptosphere, it usually manages to attract numerous investors.