Another group of executives from the traditional financial system has transferred to the blockchain industry, FN magazine reported on Tuesday. Edward Budd and Julio Faura, who had worked as technological innovation managers at Deutsche Bank and Santander, have launched a crypto company called Adhera this summer.
The joint project targets emerging banks that need help to manage their daily treasury positions because they must convert transactions in various currencies. Currently, the company works in the United Kingdom, Spain, and South Africa, but also wants to focus in Asian, African, and Latin American states where banks have more internal reconciliation problems.
“If you have a limited amount of visibility for that position during the day then you necessarily have to put more [capital] in than you need to. We are freeing up one of their most critical resources, Budd told FN.
Adhera, backed by ConsenSys, uses the open-source blockchain of the US bank JP Morgan called Quorum.
The technology underpinning virtual currencies like Bitcoin (BTC) has evolved far beyond its traditional usage and has become implemented in various sectors. However, this was not the situation when Budd worked at Deutsche Bank, he explained, as distributed ledger technology has advanced significantly in recent months. At that time, the Deutsche Bank did not consider how it might make use of digital assets such as cryptocurrencies. Budd was managing director of innovation at the German lender for 20 years until August 2017.
“There wasn’t really the maturity of thinking, technology, ideas that you have now. We were all really quite stuck on [the idea that] we need something different for financial services. I didn’t get to spend a lot of time on public crypto, and bitcoin/ethereum-style things,” Budd said.
Budd and Faura are following a trail of managers from the traditional financial system that have decided to move to crypto and blockchain world. Earlier this week, Japanese cryptocurrency startup FXcoin hired a former Deutsche Bank dealer as its virtual coin strategist. In April, an ex-vice president at Goldman Sachs’ London office moved to cryptocurrency merchant bank Galaxy Digital, which is owned by billionaire Mike Novogratz.