June 12, 2018 @ 6:46 am By Cali Haan Enterprise blockchain developer R3 is running out of money, sources to Fortune magazine say. R3 began as a startup in 2014, and tasked itself with creating blockchain products for banks and finance firms. It is considered to be one of Ripple’s main competitors.
Blockchain is a self-reconciling distributed-ledger system popularized by Bitcoin. Banks have sought to implement similar systems in order make their payment and money transfer services more efficient and competitive.
But numerous critics have come forward in the past few years questioning the suitability of implementing a system like Bitcoin’s in privately-run businesses. Bitcoin is designed to operate semi-autonomously -without central oversight- and uses a slow cryptographic, mathematically-moderated and energy-intensive process to enable this.
Critics of blockchain-for-business say, contrary to the hype, blockchain is inefficient and unnecessary in regular businesses. Critics of blockchain-for-business say that the vast majority of private businesses looking for data-management solutions should consider using some type of distributed ledger technology (DLT) combined with encryption, but not blockchain.
According to Bitcoiner Tone Vays, R3 consulted with Bitcoin core developer Peter Todd, and after that, was one of the first companies to acknowledge issues in blockchain for business. Vays has pointed out that R3 has periodically removed and then restored the word ‘blockchain’ in promotional materials in favour of the term ‘distributed ledger.’ According to Fortune, R3 announced last year that it raised $107 million dollars to flesh out its endeavours. It now appears that waffling and other management issues may have brought the company to the brink. Read more from crowdfundinsider.com…
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