Kodak Stock Exploding Another 64% After It Leaps into Current Blockchain Craze
Kodak shares look set to rise nearly 200% in just two days after the former titan of global photography said it will issue its own digital currency backed by blockchain technology.
Eastman Kodak Company shares renewed their astonishing two-day surge in pre-market trading Wednesday as investors continued to pile cash into the former bankrupt image making icon as it shifts focus towards blockchain technology and enter the world of initial coin offerings.
Kodak said Tuesday it would launch its own form of cryptocurrency, KODAKCoin, that would "empower photographers and agencies to take greater control in image rights management" inside its existing KODAKOne platform. Shares in the group surged more than doubled in Tuesday trading following the release, rising to a three-month high of $6.80 each.
"For many in the tech industry, 'blockchain' and 'cryptocurrency' are hot buzzwords, but for photographers who've long struggled to assert control over their work and how it's used, these buzzwords are the keys to solving what felt like an unsolvable problem," said Kodak CEO Jeff Clarke. "Kodak has always sought to democratize photography and make licensing fair to artists. These technologies give the photography community an innovative and easy way to do just that."
Kodak shares were marked a further 64.7% higher in pre-market trading Wednesday, indicating an opening bell price of $11.05, which would be the highest since May of last year.
Kodak, which emerged from bankruptcy protection in 2013 after a long and ultimately unsuccessful battle to see-off the challenge to its iconic photography business by smartphone makers such as Apple Inc.and Samsung Electronics Co. , is only the latest in a series of companies to experience meteoric rises in their share prices thanks to their 'word association' with the technology that backs the world's digital currencies.
Last month, Long Island Iced Tea Corp., a little-known beverage maker with a $25 billion market cap, saw its shares rise by nearly 200% after it re-branded itself as Long Island Blockchain Corp. and said it was actively exploring how to invest in that growing global business.
Biotptix, a tiny maker of diagnostics gear that sat next to a Blimpie sandwich shop in Castle Rock, Colo., changed its named to Riot Blockchain Inc. last October, trigger a 650% explosion in its share price and current market cap of $232 million.