Spanish research institute ITER plans to sell 97 Bitcoin worth $10 million, originally bought for $10,000 in 2012 for blockchain research.
A Spanish public research institute is preparing to sell a Bitcoin stash now worth over $10 million. The Instituto de Tecnologias y Energias Renovables (ITER) in Tenerife bought 97 Bitcoin in 2012 costing only $10,000. The tokens involved a blockchain research project on the potential of the digital currencies.
ITER Finalizes Bitcoin Sale Plan
According to Spanish newspaper El Dia, the Council of the Tenerife Island, ITER’s owner, plans to put the sale through in the coming months. Juan Jose Martinez, the councillor for innovation on the island, verified that ITER is collaborating with a financial institution with permission from the Bank of Spain and the National Securities Market Commission (CNMV). The profits will be re-invested in new research and development projects.
At present, the sale is being prepared for administrative requirements. However, as reported by Martinez, most European banks still decline to work with Bitcoin directly. This hesitation is because of worries about regulation, volatility, and security risks. Thus, the deal will be executed with a formally authorised intermediary organization.
Bitcoin’s Value Hits the Roof Over the Decade
The $11 million spent on the research has made the 97 bitcoins used in the study worth over $11 million today. Bitcoin’s value started to surge in 2017, with institutional investments in Bitcoin becoming legitimate in the US after the U.S. Securities and Exchange Commission (SEC) cleared them in January 2024. Some international banks, such as JPMorgan and Citibank, even accept Bitcoin as collateral to certain credit transactions.
Blockchain’s Research Legacy
ITER originally got the Bitcoin for a blockchain study project – the technology behind cryptocurrencies. Martinez explained that the purchase was never intended as an investment tool but as an educational tool for innovation. Nowadays, the institute is still active in the field of cutting-edge technologies such as quantum technology and renewable energy systems.
Transparency Concerns Addressed
Despite the political criticism over the “opaque” aspect of cryptocurrencies, ITER claims the sale is transparent and justified. Martinez clarified that since the Bitcoin was bought for research purposes, it makes sense now that it has grown so much to sell it. The money will be used to directly fund new innovation projects at ITER.
Blockchain expert Deepak Daswani explained the technology as a digital ledger, used by the entire world. He noted that its decentralized feature guarantees that there is no room for manipulation and that it is transparent – an ideal system for trust-based innovation and research.