Norwegian energy giant Aker forms bitcoin unit, billionaire owner says BTC could be worth 'millions of dollars'

Quick Take

  • Norway-based oil and gas giant Aker has formed a new unit dedicated to investing in bitcoin and related projects.
  • Aker chairman Kjell Inge Røkke said, “bit­coin may still go to zero,” but it could be worth “mil­lions of dollars” one day.

Norway-based oil and gas giant Aker has established a new unit dedicated to investing in bitcoin and related projects in the ecosystem.

The unit, Seetee, has a cap­i­tal­i­sa­tion of 500 mil­lion Norwegian kroner (around $58 million) and will keep its liquid assets in bitcoin, Aker announced Monday.

"We aim to in­crease [the capitalization] sig­nif­i­cant­ly over time as we gain ex­pe­ri­ence and iden­ti­fy ex­cit­ing op­por­tu­ni­ties," said Aker chairman Kjell Inge Røkke in a letter to shareholders hosted on Seetee's website. Røkke is a billionaire investor and one of the top 10 richest men in Norway.

See­tee's strat­e­gy is three­fold. It will invest in bit­coin as its trea­sury as­set, invest in bitcoin projects and companies, and set up bitcoin mining operations. To that end, See­tee has also partnered with industry firm Blockstream to navigate the space.

As for its investments, See­tee could particularly back projects focused on mi­cro­pay­ments since Røkke is interested in them. "I'm fas­ci­nat­ed by the prospect of bitcoin Light­ning wal­lets that may en­able in­stant cred­it via mi­cro­pay­ments with­out the need to of­fer per­son­al in­for­ma­tion that my coun­ter­part can mon­e­tise with­out ap­proval or com­pen­sa­tion," said Røkke.

The billionaire investor appears to be betting big on bitcoin. He said, "bit­coin may still go to zero," but it can also become "the core of a new mon­e­tary ar­chi­tec­ture. If so, one bit­coin may be worth mil­lions of dollars."

The establishment of See­tee is the re­sult of a "long and fun­da­men­tal dis­cus­sion about val­ue," said Røkke, who believes bitcoin is superior to cash and is even better than gold.

"We are used to think­ing that cash is risk-free. But it's not," he said. "It's im­plic­it­ly taxed by in­fla­tion at a small rate every year. It adds up." As for bitcoin vs. gold, he said: "Bit­coin is like gold, but bet­ter."

"Peo­ple who know the most about bit­coin be­lieve its fu­ture suc­cess is near­ly in­evitable. Where­as the oth­er camp thinks that its fail­ure is equal­ly cer­tain. Sta­tus quo is not pos­si­ble," Røkke concluded.

© 2022 The Block Crypto, Inc. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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