US banking giant JPMorgan plans to lead a new round of investment in the Ethereum incubator ConsenSys. The Block has reported citing several sources that the deal could be worth $50M.
According to these sources, the funding will be obtained through convertible bonds. JPMorgan is expected to contribute with $20M to the investment round.
The deal will probably be closed at the end of August. According to it, the resources of the blockchain division Quorum, which JPMorgan has been trying to get rid of for years, will go to ConsenSys. The firm chosen was ConsenSys due to the fact that it specializes in Ethereum and has worked with JPMorgan in the past.
JPMorgan developed the Ethereum-based business platform Quorum back in 2016 and has previously taken part in several joint initiatives with ConsenSys. Quorum is used in the Interbank Information Network (IIN), which connects over 300 banks.
ConsenSys laid off about 14% of its staff in April due to the crisis caused by the coronavirus pandemic. ConsenSys CEO Joseph Lubin reported shortly after he was negotiating with potential investors.
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