Nvidia Continues to Keep Crypto at Arm’s Length After Arbitrum Snub
By Sam Reynolds
Updated: April 25, 2025, 4:10 PM
Published: April 25, 2025, 6:25 AM
In a significant move that underscores Nvidia’s cautious stance towards cryptocurrency, the anticipated partnership announcement between Arbitrum, a leading Layer 2 network, and the chip manufacturer has been unexpectedly halted. This pause comes on the heels of an announcement that Arbitrum would become Nvidia’s exclusive Ethereum partner for the newly launched Ignition AI Accelerator, a program aimed at supporting AI startups with resources and mentorship.
Unexplained Halt
The pause in the partnership announcement was communicated by Arbitrum’s representatives. "We received some last-minute communications from Nvidia requesting to pause the announcement; however, they didn’t provide any specific details as to why," a spokesperson shared with CoinDesk via email. This abrupt change raises questions about the relationship between Nvidia and the growing crypto sector, particularly against the backdrop of continued attempts by cryptocurrency projects to integrate with advancements in artificial intelligence.
Nvidia has established a clear policy against including blockchain-related initiatives in its flagship programs, such as the Inception program from which the Ignition AI Accelerator derives. This policy explicitly disqualifies any crypto-related projects, reflecting a long-standing wariness from Nvidia towards the cryptocurrency space.
A History of Disdain
This hesitance is not a new development. Nvidia’s leadership has a history of expressing skepticism towards crypto technologies. In 2018, CEO Jensen Huang famously remarked on the company’s experience following the initial coin offering (ICO) boom, referring to it as a "crypto hangover." This downturn had significant financial implications for Nvidia, which found itself with excess GPU inventory following a collapse in Ethereum’s market price. As a result, Nvidia incurred a fine of $5.5 million related to its reporting of revenues impacted by the crypto space.
More recently, in a 2023 interview with The Guardian, Nvidia’s Chief Technology Officer, Michael Kagan, articulated a stark viewpoint, stating, “Crypto doesn’t bring anything useful for society… I never believed that [crypto] is something that will do something good for humanity.” This statement highlights a significant ideological gap between the emerging blockchain technology sector and Nvidia’s strategic focus on AI.
A Contrasting Embrace of AI
While Nvidia firmly distances itself from the cryptocurrency industry, the company’s commitment to artificial intelligence continues to flourish. At the 2024 Graphics Technology Conference, Huang shared the stage with Illia Polosukhin, co-author of a foundational paper on AI. Although Polosukhin co-founded the NEAR blockchain, discussions largely pivoted towards advancements in AI, leaving crypto discussion largely sidelined.
During the conference, Huang’s comments, which lightly referenced programmable technologies in a broad context, did little to suggest a shift in Nvidia’s stance towards cryptocurrency. Many industry speculators had hoped for a potential softening of this rigid approach, but with crypto still officially excluded from Nvidia’s programs, the message remains unequivocal.
Conclusion
Nvidia’s recent actions exemplify the ongoing divide between the AI and crypto sectors. Despite the mounting efforts from crypto companies to forge alliances with organizations like Nvidia, it appears that the tech giant remains steadfast in its exclusion of cryptocurrency from significant partnerships. For the time being, Nvidia’s clear message is that crypto remains unwelcome in its strategic initiatives and programs.
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