Blockchain Tech Startup Hires Morgan Stanley Adviser

By Colin Wilhelm April 06, 2015, 6:31 p.m. EDT 1 Min Read

Law and regulation

CFPB's Prepaid Crackdown Sweeps Up Overdraft, Bitcoin

Industry groups are crying foul over how a Consumer Financial Protection Bureau proposal to regulate prepaid cards would affect overdraft services and treat virtual currencies.

By Rachel Witkowski

April 2
Consumer banking

The Case for a Government-Backed Cryptocurrency

Fedcoin could have a lot of benefits, such as helping unbanked buy goods and pay bills online. But about those "know-your-customer" risks....

By Sarah Todd

March 29
Bank technology

Bitcoin Conversion Service Gets Prominent Investor, Adds Currencies

Bitreserve, a payments company started by CNET founder Halsey Minor that seeks to solve Bitcoin's volatility problem, has announced a new partnership with the Mexican billionaire Ricardo Salinas-Pliego and the support of two new currencies on its platform.

By Colin Wilhelm

March 20

Jacob Dienelt, a former financial adviser at Morgan Stanley, has joined Factom, a cryptocurrency tech startup, as its head treasurer.

Factom, based in Austin, Texas, is one of a growing number of companies to utilize Bitcoin's underlying distributed-ledger technology, known as a blockchain, for purposes unrelated to payments or currency. Factom allows companies to audit and verify records over a Bitcoin-style blockchain; the servers maintaining the network are rewarded with tradable tokens, known as Factoids, which can be converted into nontransferable credits for entries in the ledger.

"After two years traveling to Bitcoin conferences, mining, and running a paper wallet company, I'm glad to have found a home in the space," Dienelt said in a press release issued Monday.

He will manage the funds raised from the token sale that Factom has made to support its development platform. So far this month, the company has raised 1,000 bitcoins, or about $250,000 at current exchange rates.

Dienelt left Morgan Stanley's private wealth management division Monday to take his new job.

Colin Wilhelm