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Helium (HNT) Heats Up: 21% Jump After Telefónica Deal Ignites Growth

January 25, 2024
in General
Helium (HNT) Heats Up: 21% Jump After Telefónica Deal Ignites Growth
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In a landmark move, Telefonica, the world’s 27th largest telecom, has partnered with Nova Labs to roll out Helium mobile hotspots in Mexico. This initiative aims to address the persistent issue of limited internet access in underserved communities, leveraging a unique blockchain-powered network.

Helium’s Mexico Expansion Sparks Crypto Surge

The collaboration will see thousands of Helium hotspots deployed across Mexico City and Oaxaca, powered by Nova Labs’ blockchain technology. This technology incentivizes individuals to host hotspots by rewarding them with Helium’s cryptocurrency, HNT, for contributing to coverage. This “proof-of-coverage” concept aims to build a decentralized network with potentially lower infrastructure costs compared to traditional methods.

The news sent ripples through the cryptocurrency market, propelling HNT’s price up over 20%. This follows a similar surge in December when Helium partnered with T-Mobile for nationwide mobile service in the US.

HNT price soars in the last 24 hours. Source: Coingecko

“This program in Mexico is crucial for evaluating the performance and customer satisfaction of this solution,” said José Juan Haro, Telefonica’s Chief Wholesale and Public Affairs Officer. He sees it as a key step towards bridging the digital divide and unlocking new possibilities for individuals and businesses in remote areas.

Helium currently trading at $7.03175457 on the daily chart: TradingView.com

The collaboration isn’t without its challenges. Scaling up the network and convincing users to switch to Helium connections will require careful planning and clear value propositions. Additionally, decentralized networks can face issues with coverage consistency and data speeds compared to centralized infrastructure.

“We are delighted to partner with Telefonica to integrate our Helium Mobile Hotspot technology and expand coverage for their customers. Alongside Telefónica, Nova Labs has solved one of the biggest challenges for telecoms and pioneered a solution that supports secure data offload that can be implemented around the world,” Amir Haleem, CEO of Nova Labs, said.

Telefonica Boosts Helium Initiative Credibility

Telefonica’s involvement adds significant weight to this initiative. Its market reach and brand recognition can bolster Helium’s credibility and drive adoption. The partnership is built on an open standard developed by the Telecom Infra Project, allowing select Movistar customers to seamlessly access the Helium network using their existing SIM cards.

While the long-term success of this venture remains to be seen, it represents a bold step towards a future where blockchain technology fuels innovative solutions for bridging the digital divide. Its success could pave the way for similar initiatives in other developing regions, offering an alternative model for network deployment and democratizing access to the internet for all.

This story is still unfolding, and its potential impact on both the telecommunications landscape and the wider blockchain ecosystem remains to be fully realized.

Featured image from iStock, chart from TradingView

Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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