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Europe’s largest telecommunications company buys Polkadot (DOT) and becomes a node validator

  • The German company Deutsche Telekom is backing Polkadot and has revealed the purchase of a significant number of DOT tokens.
  • The company will be a validator of the Polkadot network, running various nodes privately and publicly as a blockchain leader has shown that the interest is long overdue.

One of the largest telecommunications companies in the world has shown its support for Polkadot by purchasing a significant number of DOT tokens. Deutsche Telekom, through one of its subsidiaries, will also be a Polkadot validator, just days after the launch of the first Polkadot parachains.

Deutsche Telekom is the leading telecommunications company in Germany and the largest company in Europe. In a press release, he unveiled his latest forum in the blockchain industry, this time throwing his weight behind Polkadot, an Ethereum killer developed by Dr. Gavin Wood, incidentally one of the founders of Ethereum.

This is not the first time the company has plunged into the waters of blockchain. He has worked with the pioneering oracle service Chainlink, with Flow blockchain from Dapper Labs (makers of NBA Topshot), and with Celo, a mobile-centric DeFi network.

However, with Polkadot, the telecoms company is going for it. According to his press release, he purchased several DOT tokens through his affiliates, T-Systems Multimedia Solutions (MMS).

Polkadot fans from the beginning

Although only now joining Polkadot, the telco has been a big fan for some time now, revealed Andreas Dittrich, head of the company’s Blockchain Solutions Center.

In the middle of last year, the company announced that it was looking into Polkadot, drawn primarily by its focus on interoperability. Gleb Dudka, an analyst at the MMS subsidiary, then revealed that his clients were already wondering about the possibility of buying DOT tokens.

They also see the long term benefits of Polkadot. So they want to take an active part in the network, including governance on the chain because it also gives the right signals of governance, «he said.

And as Dittrich now says, the purchase of the DOT tokens is a statement from the telco that it fully supports Polkadot. He said in an interview:

As we have done before with Celo, we are also investing in DOT tokens to enable us to participate in network governance, and essentially put our money where our mouth is to support our infrastructure case. The main difference now is that it is no longer a venture capital or innovation budget; we are doing it from our business unit. So this is really a business case for us. I have to say I am very proud of what we are doing.

As one of the largest companies in Europe, Deutsche Telekom has a natural interest in Polkadot blockchain applications in enterprise solutions. And according to Dittrich, the possibilities are «very interesting.»

“It gives you the flexibility and security of an unlicensed public blockchain, but there is a separation of concerns about parachains, and interoperability between use cases,” he said. «So even the old supply chain usage scenario might make a lot of sense for Polkadot, and I know that big industry consortia are definitely looking at that ecosystem.»

DOT is trading at $ 25.40, after gaining 7.3% on the last day. Despite the gain, it remains outside the top ten after huge gains from Terra (LUNA) and Avalanche (AVAX) last week.

Jean Simmons

Jean Simmons has been a cryptocurrency enthusiast since 2014 and has been dedicated to the topic on a daily basis since she first learned about Bitcoin and blockchain technology. Besides cryptocurrency, Jean studied computer science and worked for two years at a blockchain startup. At Mercayala, he is responsible for technical issues. His goal is to bring cryptocurrencies to the world in a simple and understandable way.

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