This week saw many companies bail out on New York after the BitLicense took full effect, including bitcoin exchanges Kraken and BitFinex, and Bitcoin marketplace Paxful. Much more quietly, another exodus is underway. This one is of the more traditional, mainstream “money changers” on Wall Street, heading towards the freedom of decentralized currency within the Bitcoin ecosystem.
Migration from Wall Street to the Blockchain
When a person changes companies or starts a new one, it rarely makes global news, but that all changed earlier this year. When Blythe Masters left JP Morgan to begin the Bitcoin startup Digital Asset Holdings, it was a wake up call for the financial industry in the Western world, and she is not alone. This was merely the lightning rod in a thunderstorm of industry movement.
Timo Schlaefer, who has a doctorate in financial engineering, was enjoying a budding career at Goldman Sachs in London. Transferring from the Mergers and Acquisitions department to become an executive director of credit quantitative modeling, he suddenly picked up and left in February.
He left the security of Goldman Sachs to launch a company called Crypto Facilities Ltd, dealing in derivative trading within