Jewelry retailer Kay Jewelers has announced that it’s bringing in $250,000 worth of Bitcoin to help with the Bitcoin mining difficulty.
Kay Jewelry CEO, Tom O’Leary, says that the company has made “the biggest acquisition of Bitcoin in the history of our company”.
“We have the most sophisticated mining hardware in the world, we’ve got the highest capacity and we’ve been able to scale the network,” O’Reilly said in an interview with CoinDesk.
“We’ve got a huge infrastructure to run it, and we are able to have a global network of miners.”
The company’s announcement comes as a large number of Bitcoin exchanges have suspended trading on the virtual currency due to the difficulty of the Bitcoin network.
Kay Jewelers currently holds over 4,000 Bitcoin miners.
The company says that it is the only Bitcoin mining firm that has taken Bitcoin seriously, and has partnered with Coinsecure, a security company, to enable users to purchase the cryptocurrency through a third party.
“We are proud to have partnered with a reputable company, Coinsecure to offer our miners with the highest level of security and confidence,” O-Leary said.
“Coinsecure has built an extremely sophisticated mining system that is able to handle the Bitcoin chain that has been mined for us.”
Bitcoin mining is a process where miners run programs on the Bitcoin blockchain that generate new blocks that are then submitted to a chain of miners for inclusion in the Bitcoin ledger.
It can take weeks or months to reach the Bitcoin block chain.
In April, Kay Jewelries founder and CEO Tom O. O’Neill announced that he would begin selling the mining hardware and software needed to mine the Bitcoin currency.
Kay’s announcement follows a similar one made by Bitcoin mining giant Bitmain.
Bitmain has also been working to increase its mining capacity, with the firm announcing in October that it had begun “tweaking” its mining hardware.
Bitcoin mining was the topic of a recent Reddit AMA.
One user asked O’Keefe if Bitcoin miners would be getting an incentive to help out.
O’Reilly replied that Bitmain’s decision to tweak its mining equipment was due to concerns that the increased hashrate from Bitcoin mining could be exploited.
Bitcoin has surged in value since Bitcoin was first launched in 2009.
The currency has grown in popularity in recent months as its price has surpassed $1,000 per coin.
Bitcoin, which was first designed by Satoshi Nakamoto, was designed to operate in a decentralized, untraceable, peer-to-peer manner, but it’s been heavily criticized by those who believe it could lead to centralization.
Bitcoin’s creator has since come under criticism for not being as forthcoming about his motives.