Turmoil at Blockchain Consortium R3 over proposed capital raise from banks

[Denker]

Bank-backed blockchain consortium R3 is rumoured to be facing unrest among its membership as it seeks $200 million in funding to develop a utility-based service using distributed ledger technology. R3 has secured the backing of more than 40 of the largest financial institutions in the world for developing state of the art commercial applications for the market. In April, the consortium revealed its development plans for Corda, a distributed ledger platform "designed from the ground up to record, manage and synchronise financial agreements between regulated financial institution".

According to a report in efinancialnews, R3 is now seeking $200 million in capital from its members in exchange for equity stakes in the proposed utility.

While the utility will be spun off, R3's blockchain development lab will remain under private ownership and any commercial applications developed therein would not be owned by the utility and its backers.

The proposals have not gone down well with the core membership, who want a bigger return on their intellectual capital investment and support for projects emerging from the lab.

One industry insider described the stand-off as an "implosion at R3", adding "the big banks are apoplectic with the high handed approach and are busy ‘considering their options’."

R3 has yet to comment publicly on the negotiations.

https://webcache.googleusercontent.com/search?q=cache:-upW2vOaQeoJ:https://www.finextra.com/newsarticle/28884/blockchain-consortium-r3-facing-unrest-over-capital-raise+&cd=11&hl=en

http://www.bitcoinerrorlog.com/2016/05/13/r3cev-articles-mysteriously-disappear/

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[chek2fire]

is one year now and this R3 scam get so much money and they create completly nothing, not a single blockchain working system. I live for the day that Hearn announce the death of the private blockchains

[LiteCoinGuy]

the R3 CEO posted a picture recently:

[Kprawn]

How funny is this situation.... You have Bitcoin, the strongest and most developed Crypto currency out there... but companies want to dump $200 000 000 into developing a new Blockchain

technology. They are just lining developers pockets with money for something they could have gotten for free with Bitcoin. The people laughing all the way to the bank {do not excuse the pun} is Mr.

Hearn and his team. Bitcoin has already proven it self .... private ledgers like these, will still have to be tested, before it can be implemented. This puts other banks like Barclays, worlds ahead of the

competition, because they already decided to go with Bitcoin/Circle.  

[chek2fire]

every open blockchain system has much more value than this crap private blockchains. And Bitcoin is much more secure for any other blockchain system for well known reasons. The banks burn that much money to a vaporwave

[Yakamoto]

R3 is making it so that they can become the most controversial blockchain tech company available, and it seems like they're more interested in getting capital funding as opposed to coming out with a good project and making themselves valuable.

This'll be interesting to see how it goes, but I don't necessarily have high hopes for them.

[LiteCoinGuy]

another tweet: