Former top banker Blythe Masters used blockchain to start her second career. Now, she seems to be done with it.
Blythe Masters used to be called the blockchain diva, a reputation she earned the hard way. The former J.P. Morgan banker traveled the world to talk up the new technology and its potential in the financial services industry, and used her role as an ambassador for the software to boost her own career.
In 2015, Masters was the poster woman at «Bloomberg Magazine» and SIX, the Swiss exchange, also sought her advice.
Personal Reasons
Two years ago, Masters assumed control of Swiss blockchain specialist Elevence through her Digital Asset Holdings vehicle. The U.S. citizen eagerly praised Switzerland for having recognized the potential of blockchain.
Now, the diva no longer wants to be one – or so it seems. The head of Digital Asset is stepping down from her position, according to a report by «Financial News» (behind paywall). The company cited personal reasons and didn’t further comment on the startup’s financial well-being.
Bitcoin Nosedive
Still, the blockchain and crypto industries seem to have caught a cold. Bitcoin, the flagship cryptocurrency has dropped three quarters of its value against the dollar since the start of the year so it comes as no surprise that companies have started cutting back on staff.
If the same scenario were to become true at Digital Asset as well, it would be a repeat performance for Masters. She was one of the creators of credit default swaps (CDS), which helped her climb the ladder on Wall Street from the '90s. It was those products, however, that fomented the financial crisis in 2007 and caused a billion-dollar losses in companies like Swiss Re.
This time round, at least the damage collateral would be much smaller, even in a worst-case scenario.
