Atari entering the Cryptocurrency Space
Details are minimal, but it appears the Atari Token is meant to be used with digital gaming platforms, while the Pong Token will be used in online casinos. Atari says details of those crypto-casinos will be announced soon.
“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,” said Frédéric Chesnais, CEO of Atari in a statement. “Given our technological strengths with the development studios, and the global reputation of the Atari brand, we have the opportunity to position ourselves attractively in this sector.”
"The second project in progress is the strengthening of the partnership with Pariplay, Ltd in the launch in 2018 of casino platforms allowing players to bet either in real money or with most cryptocurrencies currently outstanding. These casino sites will offer many Atari games. To broaden the appeal of these new casinos, and once the Atari Token available, Atari has the project to launch Pong Token, a second Token dedicated to crypto-casinos and usable on these gaming sites. The details of this launch of crypto-casinos will be announced soon."
To position itself for the launch of the Atari Token, the company has acquired a minority stake in Infinity Networks, which is developing a decentralized blockchain technology for digital entertainment platforms.
The announcement comes roughly a month after Kodak said it plans to debut its own coin, an announcement that caused a notable spike in its stock. (Kodak has since delayed the launch of that coin to vet investors.)
Atari on the Brink of Bankruptcy
Fred Chesnais is the Chief Executive Officer (CEO) of Atari Game Partners. At the beginning of February, he gave an interview highlighting how when the company’s current leadership took over they were facing losses over $30 million for the year, with debts also in excess of $35 million. He was eager to point out that from that point his team has been able to reduce debt to zero, while also turning Atari profitable. Pulling Atari from the cusp of bankruptcy years ago, make it clear that Atari is not in the same dire situation as Kodak. However, dire situation or not, Atari has been fairly irrelevant since their original system was launched fading into oblivion since. Atari does not have any major break-through products on the horizon which provided them the perfect opportunity to capitalize on their own ICO. If no name teams from Russia and China are able to raise millions of dollars for products in preliminary stages of development, why shouldn’t Atari too? Well, it casts doubt over the entire blockchain technology and cryptocurrency markets each time a coin with little purpose is created.
Shares in Atari Game Partners climbed on the Paris exchange from under $0.40 in December to over $0.75 as of February 16, 2018. Individuals who purchased Atari shares before their blockchain announcement were able to attain 100 percent returns solely based on the speculation of Atari entering the blockchain technology space.