Shares of Eastman Kodak more than doubled to close at $6.80 Tuesday.
Kodak, KODAKOne and KODAKCoin are trademarks of Eastman Kodak Company.
Shares of Kodak KODK skyrocketed on Tuesday after the company announced that it is set to enter the cryptocurrency market through a partnership with WENN Digital that will allow photographers to monetize their work in a new way.
With the price of Bitcoin, Litecoin, Ripple and other digital currencies skyrocketing, an eclectic mix of small, unrelated businesses has attempted to ride the wave of investor interest by teasing cryptocurrency pivots.
Kodak launches KodakCoin cryptocurrency – and it's not quite as stupid as it sounds
Kodak will use a blockchain, which is the technology behind bitcoin, to track the online use of photographs licensed through its system.
The second part of the platform is KodakCoin, the cryptocurrency that Kodak has invented to develop a "new economy for photography". While Kodak may have been forgotten by some people due to the "smartphone era", the company is now entering what most technology companies can not get enough of, i.e. Blockchain and ICOs.
Chanticleer Holdings (BURG), a company which owns a number of restaurants, saw gains of 40% in a single day when it announced plans to incorporate blockchain into its customer loyalty programs. If an unlicensed usage of an image is detected, the KODAKOne platform says it will "manage the post-licensing process in order to reward photographers". He's skeptical whether this cryptocurrency initiative represents a sustainable business.
Kodak CEO Jeff Clarke said that 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 is used, these buzzwords are the keys to solving what has felt like an unsolvable problem. The blockchain technology will protect users and their work by constantly scanning the web for illegal use of the user's work and their IP address. The Kodak ecosystem is driven by the KodakCoin, which veteran and rookie photographers receive in exchange for licensing agreements on the blockchain. The initial coin offering will open January 31. "These technologies give the photography community an innovative and easy way to do just that".