Oracle Corp., one of the largest technology companies in the world, is seeking a group of investors to partner with to build a new blockchain infrastructure business, according to a person familiar with the matter.
Oracle said it has signed a memorandum of understanding with a group that includes investors including the Chinese private equity firm Caixin, according, to a statement.
The announcement comes as blockchain technology is growing more popular and a growing number of companies are using it to build and deploy digital assets such as smart contracts.
It also comes as the industry struggles to navigate regulatory hurdles that can be complicated or even costly for companies and regulators alike.
Oracle has been among the biggest investors in the cryptocurrency space, with the company owning or developing bitcoin and ether.
The company said it expects to use blockchain technology in several areas, including smart contracts, digital asset management, distributed ledger technology and enterprise finance.
The new venture is part of the company’s effort to help develop and build digital assets, the statement said.
The venture is expected to close by the end of 2020, according the statement.
For more on the bitcoin space, watch: Wall Street analysts are still calling it the “cryptocurrency bubble” as bitcoin’s value continues to soar and the price of the digital currency is rising.
The bitcoin price is up about 5% since the start of the year.
It was last trading at about $13,500 on Thursday, according Google Finance data.