How American Express is 'Testing the Waters' of Bitcoin and the Blockchain

American Express is using its investment in bitcoin remittance app maker Abra to investigate the technology.

AccessTimeIconOct 23, 2015 at 5:19 p.m. UTC
Updated Sep 11, 2021 at 11:57 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now
Harshul Sanghi
Harshul Sanghi

American Express, through its venture capital arm American Express Ventures, is looking to use its recent investment in bitcoin remittance startup Abra's $12m Series A as a way to more closely observe the digital currency industry and the technology behind it.

managing partner Harshul Sanghi told CoinDesk in a recent interview that, for the 165-year old company, it’s too soon to predict how it might leverage the technology or what use cases might take shape.

“It’s very, very early days for us, right? And ... we get to explore and see how the space is going to evolve,” he said.

In the meantime, AmEx will “test the waters” through its work with Abra, and in return, provide resources and advice to the startup.

Sanghi left the door open to support for bitcoin by American Express, stating:

“Let’s see what currencies are important and we’ll transact in the currencies that our customers want to transact in.”

However, he suggested other applications of the blockchain are more at the forefront of the company’s mind than bitcoin itself.

"As we watch the digital currency industry develop, we have seen that blockchain technology and the distributed ledger can play an important role in shaping the future,” said Sanghi.

He thinks AmEx may consider making other investments in the digital currency space, tying such a prospect to how the technology progresses.

“I think as the technology continues to evolve, as others have in the past, we will look to see and make investments as appropriate and as relevant for us and our businesses,” the partner said.

Sanghi went on to say the user experience of the Abra app was a draw for American Express, reiterating that the company’s investment gives it a platform to explore the technology further.

“We think they have a unique platform in the way they’re leveraging the blockchain technology, and their goal market and how they’re looking to move forward," he said. "And we think it was a good investment, a good company to partner with and see how the space evolves.”

Image Source: Nadalina / Shutterstock.com

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.