Joseph Lubin who co-founded Ethereum, the popular blockchain with the Ethereum (ETH) token,with Vitalik Buterin has this month of October sparked some sort of a controversy by entering into a partnership with a platform that is known to be one of the very serious rivals of Ethereum.
DrumG, the startup founded by several of the senior executives of R3, was the beneficiary of an investment worth $6.5 million by Joseph Lubin and Consensys – a company he heads as CEO. The investment will make Consensys a stakeholder in DrumG as well as making Joe Lubin the only outsider on the company’s board of directors.
What is intriguing about this partnership is the fact that the persons involved have actually invested great time and effort to develop platforms that are rivaling each other. Lubin left after co-founding Ethereum tpo establish Consensys, thus seeing him involved in such a huge investment is quite absurd, but hey we are in the crypto-blockchain sphere and anything is possible. He also sits on the board of several other companies where he is helping build strong integration of blockchain and decentralised ledger technologies.
DrumG, like almost all blockchain based startups, seeks to bridge the gap across industries by the elimination of middlemen with the use of distributed ledger technologies.
Joseph Lubin on an open forum talk explained that
“The decentralized Web future—Web 3.0, linking corporations to public blockchains—that’s definitely an interledger future. It’s going to be hundreds of thousands of decentralized protocols for trusted transactions and automated agreements.”
He also mentioned that the investment will see DrumG have a “significant presence” in Consensys’ financial technology systems, a thing he refused to explain further. Consensys presently manages about 50 different financial projects, as to whether DrumG will get involved in these also is till unknown.
Lubin and Tim Grant, co-founder of DrumG, have an acquaintance dating back to two years ago. This was when Tim was still at R3 Labs. Tim eventually stepped away to establish DrumG, which was integrated into Bermuda in 2017. Months afterwards, a potential partnership with Lubin was becoming an inevitability and nine months ago both tech geniuses started discussing a possible situation of working together.
DrumG presently has about 20 different employees in four different cities across three continents. The investment by Consensys will help in expanding operations. DrumG will now be focused on working with the Ethereum and Corda blockchains from Ethereum and R3 respectively, due to the strong ties Lubin and Grant have with the blockchain creators. It is rumoured that about 10 more blockchains will be brought in later.
DrumG has plans to launch its Titanium Network which will be its decentralised and secured database which will be for information about investment bank trading and valuations, specifically over-the-counter tradings. The current means of such data transactions and verification requires third parties who eventually charge the very same companies who created the data that was released to them.
Titanium will eliminate the third party companies in the present transaction system with an authorised version of the Ethereum blockchain that was built in partnership with Credit Suisse to be debuted next year.
Tim Grant also mentioned that the company was into developing another unnamed platform to include fund administrators, hedge funds, and prime brokers. “The real goal for us, is that somewhere down the line those networks should be able to inter-operate. They should be able to work together.”
A core reason why blockchain builders need to start working together if they are going to survive a system pervaded by thousands of middlemen who are on the brink of losing their jobs because of blockchain technology.
Featured Image via Forbes.
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