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Dan Elitzer and Jeremy Rubin rolled out the “MIT Bitcoin Project” in 2014.
Christopher A. Maynor

Jeremy Rubin was a sophomore studying computer science and electrical engineering when he decided that he wanted to give every undergraduate student at the Massachusetts Institute of Technology $100 worth of bitcoin

Seven months later – armed with half a million dollars in donations from alumni and bitcoin enthusiasts – Rubin offered to do just that, and 3,108 undergrads took him up on it.

This was back when the world’s most popular cryptocurrency wasn’t quite so popular, trading at around $336. Had all recipients of this free bitcoin let their crypto wallets sit idle, the “MIT Airdrop” collective would have been $44.1 million richer by today’s prices. 

But some students didn’t hold on.

Researchers tracing the project, including Christian Catalini, now co-creator of the Diem stablecoin project initiated by Facebook, say that 1 in 10 cashed out in the first two weeks. By the end of the experiment in 2017, 1 in 4 had cashed out. The experiment creators stopped tracking transactions among the cohort after that.

Van Phu, now a software engineer and co-founder of crypto broker Floating Point Group, is still kicking himself for spending a lot of his bitcoin on sushi.

“One of the worst things and one of the best things at MIT is this restaurant called Thelonious Monkfish,” said Phu. “I spent a lot of my crypto buying sushi.”

Phu wasn’t alone in hemorrhaging his virtual coins at this campus dining hotspot.

Quantitative trader Sam Trabucco, who also took part in the experiment, estimated that half the people he knew spent their crypto spoils on fish. 

“It was the only restaurant in Cambridge that was accepting bitcoin at the time, and it was a pretty popular spot,” he said. The restaurant has since changed its name and retired its bitcoin payment policy.

The MIT experiment

Rubin was halfway through a protracted legal battle with the New Jersey attorney general when he first got the idea for the bitcoin giveaway.

Unlike most 19-year-olds, Rubin was venting to his friends about the fact that state officials had accused him of being a “hardcore, hardened cyber criminal” who was “installing malware on people’s computers.” But Rubin says he had simply launched a bitcoin mining program called Tidbit. The project had just won an innovation award at a local hackathon known as Node Knockout, and Rubin, now CEO of bitcoin R&D lab Judica, was proud of what he had built. 

The episode ended up with Rubin being cleared, but as it was happening, he kept noticing the blank stares from his friends each time he mentioned the word “bitcoin.”

“I thought, ‘This is MIT. I thought everyone was super cutting-edge.’ And I realized that no, it really wasn’t something that was all that widespread at that point,” said Rubin. 

And so the bitcoin experiment was born. 

In late October 2014, Rubin and fellow project leader Dan Elitzer, then an MBA student at Sloan, opened up enrollment. Students who wanted the $100 worth of bitcoin had to complete a few questionnaires and review educational materials. 

Jeremy Rubin touring the NYSE during a 2013 internship.

“We wanted to get bitcoin out in the world more, and we wanted to spread the technology,” said Rubin. “We also wanted to study what it means to distribute a new asset.”

Students wanting to take part also had to set up their own crypto wallet, which at the time was hard enough to discourage participation. Still, in the end, 70% of students ended up jumping through all the hoops.

Phu was among the students who started a side hustle opening up crypto wallets for those who didn’t want to spend the time figuring out how to do it and were willing to yield a percentage of their bitcoin as a fee for services rendered. 

“A lot of the students would pay the other students half of the bitcoin if they would set it up on their behalf,” explained Phu. He says he helped somewhere between 10 and 12 people set up crypto wallets in exchange for a commission paid in bitcoin. It’s somewhat taken the sting out of the fact that he spent $100 worth of bitcoin — worth more than $14,000 today — on two sushi dinners.

Trabucco says that back when he was a student, he didn’t think that much of the project, though he did manage to triple his bitcoin handout playing poker online.

“Half the people I knew actually registered it as an event,” said Trabucco. As far as he was concerned, he thought bitcoin was cool, but “didn’t really think it was going to be the future of finance.” 

But already having a crypto wallet did lower the barrier to entry to the cryptosphere later in life. Trabucco now runs Alameda Research, which manages over $1 billion in digital assets and trades up to $10 billion per day across thousands of products, including all major coins and altcoins, as well as their derivatives.

“I can’t say for sure whether it was the deciding factor, but it certainly could have been, because if I didn’t already have an account, I’m not sure if I would have ended up doing this,” he said. 

Phu, Rubin and Trabucco all declined to share how much they kept and how much crypto they’ve accrued since their days on campus. 

Massachusetts Institute of Technology (MIT) campus in Cambridge, Massachusetts
(Photo: Bloomberg / Getty Images)

Where all the bitcoin went

When CNBC spoke to Catalini, he was taking a walk to break up the 12 to 14 hours a day he spends on Zoom working. 

Among Catalini’s lasting takeaways is the fact that bitcoin simply didn’t work as a method of payment on campus. 

“Even at the time, the technology was quite user unfriendly,” he said. “Even within a pretty tech-savvy community such as MIT, it was kind of surprising to see how much work it really was to use bitcoin at the time.”

But that inability to spend was probably for the best.

“What was fascinating is that in a sense, the MIT students got it right. The vast majority held on to their bitcoin as an investment. And maybe it sounds obvious given the price has appreciated so dramatically. But I think in 2014, it wasn’t clear at all that something that was worth at the time, I think $250, would be worth more than that,” he said.

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How quantum could supercharge Google’s AI ambitions

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How quantum could supercharge Google’s AI ambitions

Inside a secretive set of buildings in Santa Barbara, California, scientists at Alphabet are working on one of the company’s most ambitious bets yet. They’re attempting to develop the world’s most advanced quantum computers.

“In the future, quantum and AI, they could really complement each other back and forth,” said Julian Kelly, director of hardware at Google Quantum AI.

Google has been viewed by many as late to the generative AI boom, because OpenAI broke into the mainstream first with ChatGPT in late 2022.

Late last year, Google made clear that it wouldn’t be caught on the backfoot again. The company unveiled a breakthrough quantum computing chip called Willow, which it says can solve a benchmark problem unimaginably faster than what’s possible with a classical computer, and demonstrated that adding more quantum bits to the chip reduced errors exponentially. 

“That’s a milestone for the field,” said John Preskill, director of the Caltech Institute for Quantum Information and Matter. “We’ve been wanting to see that for quite a while.”

Willow may now give Google a chance to take the lead in the next technological era. It also could be a way to turn research into a commercial opportunity, especially as AI hits a data wall. Leading AI models are running out of high-quality data to train on after already scraping much of the data on the internet.

“One of the potential applications that you can think of for a quantum computer is generating new and novel data,” said Kelly. 

He uses the example of AlphaFold, an AI model developed by Google DeepMind that helps scientists study protein structures. Its creators won the 2024 Nobel Prize in Chemistry. 

“[AlphaFold] trains on data that’s informed by quantum mechanics, but that’s actually not that common,” said Kelly. “So a thing that a quantum computer could do is generate data that AI could then be trained on in order to give it a little more information about how quantum mechanics works.” 

Kelly has said that he believes Google is only about five years away from a breakout, practical application that can only be solved on a quantum computer. But for Google to win the next big platform shift, it would have to turn a breakthrough into a business. 

Watch the video to learn more.

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Nintendo Switch 2 retail preorder to begin April 24 following tariff delays

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Nintendo Switch 2 retail preorder to begin April 24 following tariff delays

An attendee wearing a Super Mario costume uses a Nintendo Switch 2 game console while playing a video game during the Nintendo Switch 2 Experience at the ExCeL London international exhibition and convention centre in London, Britain, April 11, 2025. 

Isabel Infantes | Reuters

Nintendo on Friday announced that retail preorder for its Nintendo Switch 2 gaming system will begin on April 24 starting at $449.99.

Preorders for the hotly anticipated console were initially slated for April 9, but Nintendo delayed the date to assess the impact of the far-reaching, aggressive “reciprocal” tariffs that President Donald Trump announced earlier this month.

Most electronics companies, including Nintendo, manufacture their products in Asia. Nintendo’s Switch 1 consoles were made in China and Vietnam, Reuters reported in 2019. Trump has imposed a 145% tariff rate on China and a 10% rate on Vietnam. The latter is down from 46%, after he instituted a 90-day pause to allow for negotiations.

Nintendo said Friday that the Switch 2 will cost $449.99 in the U.S., which is the same price the company first announced on April 2.

“We apologize for the retail pre-order delay, and hope this reduces some of the uncertainty our consumers may be experiencing,” Nintendo said in a statement. “We thank our customers for their patience, and we share their excitement to experience Nintendo Switch 2 starting June 5, 2025.”

The Nintendo Switch 2 and “Mario Kart World bundle will cost $499.99, the digital version “Mario Kart World” will cost $79.99 and the digital version of “Donkey Kong Bananza” will cost $69.99, Nintendo said. All of those prices remain unchanged from the company’s initial announcement.

However, accessories for the Nintendo Switch 2 will “experience price adjustments,” the company said, and other future changes in costs are possible for “any Nintendo product.”

It will cost gamers $10 more to by the dock set, $1 more to buy the controller strap and $5 more to buy most other accessories, for instance.

WATCH: Nintendo has ‘a lot of work to do’ to convince casual users to upgrade to Switch 2: Kantan Games

Nintendo has 'a lot of work to do' to convince casual users to upgrade to Switch 2: Kantan Games

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Etsy touts ‘shopping domestically’ as Trump tariffs threaten price increases for imports

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Etsy touts 'shopping domestically' as Trump tariffs threaten price increases for imports

An employee walks past a quilt displaying Etsy Inc. signage at the company’s headquarters in the Brooklyn.

Victor J. Blue/Bloomberg via Getty Images

Etsy is trying to make it easier for shoppers to purchase products from local merchants and avoid the extra cost of imports as President Donald Trump’s sweeping tariffs raise concerns about soaring prices.

In a post to Etsy’s website on Thursday, CEO Josh Silverman said the company is “surfacing new ways for buyers to discover businesses in their countries” via shopping pages and by featuring local sellers on its website and app.

“While we continue to nurture and enable cross-border trade on Etsy, we understand that people are increasingly interested in shopping domestically,” Silverman said.

Etsy operates an online marketplace that connects buyers and sellers with mostly artisanal and handcrafted goods. The site, which had 5.6 million active sellers as of the end of December, competes with e-commerce juggernaut Amazon, as well as newer entrants that have ties to China like Temu, Shein and TikTok Shop.

By highlighting local sellers, Etsy could relieve some shoppers from having to pay higher prices induced by President Trump’s widespread tariffs on trade partners. Trump has imposed tariffs on most foreign countries, with China facing a rate of 145%, and other nations facing 10% rates after he instituted a 90-day pause to allow for negotiations. Trump also signed an executive order that will end the de minimis provision, a loophole for low-value shipments often used by online businesses, on May 2.

Temu and Shein have already announced they plan to raise prices late next week in response to the tariffs. Sellers on Amazon’s third-party marketplace, many of whom source their products from China, have said they’re considering raising prices.

Silverman said Etsy has provided guidance for its sellers to help them “run their businesses with as little disruption as possible” in the wake of tariffs and changes to the de minimis exemption.

Before Trump’s “Liberation Day” tariffs took effect, Silverman said on the company’s fourth-quarter earnings call in late February that he expects Etsy to benefit from the tariffs and de minimis restrictions because it “has much less dependence on products coming in from China.”

“We’re doing whatever work we can do to anticipate and prepare for come what may,” Silverman said at the time. “In general, though, I think Etsy will be more resilient than many of our competitors in these situations.”

Still, American shoppers may face higher prices on Etsy as U.S. businesses that source their products or components from China pass some of those costs on to consumers.

Etsy shares are down 17% this year, slightly more than the Nasdaq.

WATCH: Amazon CEO Andy Jassy says sellers will pass cost of tariffs on to consumers

Amazon CEO Andy Jassy: Sellers will pass increased tariff costs on to consumers

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