In Kodak’s Q4 earnings call last night, the CEO gave more color on its blockchain and crypto initiative, KODAKOne and KODAKCoin. The company is very optimistic about its potential. However, as someone who has experience dealing with this company and management team, I must warn readers that they have a history of hyping new technologies which resulted in failures. The company is struggling with crushing debt and pension liabilities — I wish Kodak the best on their blockchain investments, but the outcome will be ugly if they fail again. But don’t take my words for it, read what the CEO has to say in the excerpt below!
Eastman Kodak (KODK): 4Q17 Earnings Call
Jeffrey J. Clarke, Chief Executive Office
On January 8 at CES, we announced a brand licensing partnership with WENN Digital for the launch of their KODAKOne image rights platform and KODAKCoin, a photo-centric cryptocurrency to empower photographers and agencies to take greater control in image rights management. This brand license partnership demonstrates our strategy to monetize and grow the Kodak brand in new ways and our belief that innovative blockchain technology will have a significant impact on image rights management.
As consideration for the license, we received royalties on transactions across the KODAKOne blockchain, 3 million of the KODAKCoin cryptocurrency with the right to receive 3% of KODAKCoin’s in excess of 100 million coins issued by WENN Digital and a minority stake in WENN Digital. Kodak is not an issuer in the ICO and will not receive proceeds from the offering.