This post is also available in: Español
Gary Cohn, the former economic advisor to President Donald Trump, has decided to play a more active role in the ongoing blockchain boom. In his new corporate avatar, Cohn will join blockchain startup Spring Labs as an advisor.
“Believer in Blockchain Technology”
The startup confirmed Cohn’s decision to come on board as an advisor via a press release on October 12, 2018. This is the Cohn’s first major project since he left the Trump administration earlier in March 2018.
Before his stint with the White House, Cohn had served Goldman Sachs as the COO and President.
Hailing his role in Springs Labs as a “unique opportunity,” Cohn told the Financial Times that his job would revolve around digitizing a “very very analogue industry.”
Unlike many senior executives and decision-makers in Wall Street, Cohn has never been opposed to the idea of cryptocurrencies. Earlier in May 2018, Cohn prophesied that a global cryptocurrency would soon secure round-the-globe mass adoption, a feat that even popular cryptocurrencies such as Bitcoin could never pull off.
“I’m not a big believer in bitcoin, I am a believer in blockchain technology,” he said in a conversation with the CNBC. According to Cohn, a global cryptocurrency will revolutionize the financial sector when a Bitcoin alternative emerges with no strings attached to factors such as “mining cost or costs of electricity or things like that.”
Cohn said in a press release on October 12:
“I have been very interested in blockchain technology for a number of years, and Spring Labs is developing a network that could have profound implications for the financial services sector, among others.”
“I am excited to actively support the Spring Labs team in the development of this important business and network.”
Blockchain-powered Credit Company
Based in the United States, Spring Labs currently operates from its regional offices in Chicago and Los Angeles. Despite being an early-stage startup, the fintech firm’s board comprises influential names such as Bobby Mehta, ex-CEO of TransUnion; and Brian Brooks, the chief legal officer at Coinbase.
As of today, Spring Labs has raised approximately $15 million in seed funding.
With a workforce of 20 employees, Spring Labs focuses on the use of blockchain technology for swapping credit and identity information between corporations and banks. The startup deploys its proprietary blockchain solutions to take on credit companies such as Equifax and Experian.
The timing of Spring Labs’ entry into the market is ideal considering the growing concern among consumers about the security of the data they share with traditional credit companies. Equifax, for example, fell victim to a cyber attack a few months back that led to sensitive info of more than 143 million Americans falling into the hands of the perpetrators. Worse still, the way the company handled the aftermath raised more questions than it answered.
As a blockchain-focused company, Spring Labs can demonstrate superiority over the existing players in the market citing superior security, transparency, and decentralization.