Nick Szabo looking to raise $3M to fund a bitcoin startup

Investing | May 16, 2016 By:

Nick Szabo, a cryptographer who worked on an early bitcoin prototype called DigiCash, is reportedly in talks to raise $3 million to support a bitcoin startup.

The name of the new company conceived by Szabo is yet unknown, says Quartz. However, the news outlet, citing unnamed sources, states that the project will be carried out in cooperation with Donald McIntyre, a businessman and former Vice President at UBS Securities and Morgan Stanley. Since October 2015, McIntyre is listed on his LinkedIn page as Co-founder and COO of the Global Financial Access, Inc. which, according to Quartz, is probably connected to Szabo’s project.

The company will use smart contracts on the blockchain to produce financial products that mimic traditional assets like commodities and bonds. The company could make blockchain-oriented products that mimic the price of underlying assets such as gold and Treasury bonds. The company is looking to have approximately $20 billion in assets under management by 2021.

Nick Szabo is known as “the father of smart contracts”, creator of bitgold, one of the bitcoin’s early prototypes and a bitcoin early adopter. He had also been proclaimed as the man behind the alias of the bitcoin inventor Satoshi Nakamoto but denies any connection.