One of R3`s earliest members and the largest bank in the USA, JP Morgan has left the banking-centric blockchain consortium, as it was reported at the
One of R3`s earliest members and the largest bank in the USA, JP Morgan has left the banking-centric blockchain consortium, as it was reported at the end of last week.
As Reuters (reuters.com) wrote, R3 counts about 80 financial institutions as members with the aim of raising $150 million from its members and strategic investors, while giving them a 60 percent stake.
“JP Morgan parted ways with R3 to pursue a very distinct technology path which is at odds with the one chosen by the global financial services industry, represented by our 80-plus members.”, said Charley Cooper, a managing director at R3.
JPMorgan declined to comment on their decision.
This is not the first time a large bank quits the R3 consortium. Goldman Sachs Group Inc, Banco Santander SA, Morgan Stanley and National Australian Bank has reportedly departed from the group in late 2016 as the group put forward its fundraising plans.
However, JPMorgan remains involved in other blockchain initiatives like the newly formed blockchain consortium Enterprise Ethereum Alliance. The bank has also invested in blockchain start-ups Axoni and Digital Asset Holdings. In addition, it is a member of the Hyperledger Project, a cross-industry group led by the Linux Foundation.
R3 has at first planned to raise $200 million from members, while promising to give them 90 percet stake in a new company. As mentioned previously, in November, they lowered the target and promised a smaller percent stake of 60 to the participants in the R3 consortium.
In the case of JP Morgan`s exit, an R3 executive has reportedly pointed the finger at the bank for taking a different path.