Blockchain settlement startup SETL has filed for insolvency, appointing administrators to oversee the sale of its ID2S CDS subsidiary to a larger financial services firm.
Founded by former Chi-X Europe chief Peter Randall, SETL was launched in July 2015 to deploy a multi-asset, multi-currency institutional payment and settlements infrastructure based on blockchain technology. The firm has so far raised a total of $39 million in funding over three rounds and its backers include Citi, Credit Agricole, Computershare, S2iEM and Deloitte.
In a statement, the firm says: "Having made an early investment in the development of ID2S, SETL Development Ltd recognises that as an early stage technology firm it is not sufficiently placed to contribute the capital required. As such it is now now seeking to place its ID2S holding with a larger financial services firm, one better placed to provide the capital required to support the growth trajectory."
The Board has appointed Quantuma LLP as an independent administrator, with a view to finding a way for the company to balance its strategic infrastructure holdings and continue its software development activities on a business as usual basis.
Sir David Walker, the company’s chairman says: “Separating the software development business from the investments portfolio is a highly complex process, requiring expert, experienced and neutral management of the interests of all the creditors and stakeholders. The directors are all fully engaged and aligned in this approach.”
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