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Powerful finance lady Blythe Masters is having a hard time convincing investors to invest in her blockchain startup Digital Asset Holdings, according to a news report from The New York Times.
NewsBTC.com earlier reported that Blythe is looking to raise $35M for her blockchain startup before Christmas from leading investor groups such as JPMorgan Chase, where she earlier worked for 27 years, Goldman Sachs, Citigroup, Santander, Bank Of America, Morgan Stanley and NASDAQ.
The NYTimes reports that leading financial institutions including Goldman Sachs and Citigroup are miffed that Digital Asset Holdings is offering a better deal to Blythe’s former employer JPMorgan Chase.
One executive who spoke on the condition of anonymity to NYTimes.com said that the deal being offered wasn’t compelling enough.
“The deal would need to improve materially for us to get involved. It’s not super-compelling.”
Talks have also remained stalled on several issues such as board composition, shareholder voting rights, and how big shareholders can sell their shares.
Blythe Masters has failed to impress potential investors with her version of the blockchain software. With several startups embracing blockchain technology, investors are adopting a cautious stance on DAH’s success in creating cutting-edge software.
Another big problem that the blockchain startup faces is the formation of the R3 group, which is adding more and more banks every week. The blockchain consortium has grown to 42 members. The consortium is working towards creating a technology that will be able to meet the needs of the banks.
With every aspect of blockchain expected to gain in 2016, it can be safely assumed that better implementations of the technology in financial markets will come to the fore. If Blythe fails to deliver software that is in sync with the fast-moving industry, she may not receive the attention (and funds) from the investors, which has become ever important now.
