Factom's Two Employees Press On Despite Investor's Call to Liquidate

Published on by Coindesk | Published on

After years of being unable to close a Series B, enterprise blockchain company Factom, Inc. slashed its staff from 10 to just two.

The company isn't going into receivership as its investor, FastForward Innovations, claimed last week, said Factom COO Jay Smith.

FastForward had been pressuring Factom to put a resolution before Factom's board of directors to have the company go into receivership.

Smith said the amount of control FastForward had in Factom was scaring off other investors.

Users don't have to touch factoids to use the Factom protocol, which is separate from Factom, Inc. and decentralized among 27 different authority node operators.

Factom expects to receive three more contracts with DHS for around $200,000 each, Smith added.

One former Factom employee who spoke on the condition of anonymity claimed leadership changes at the company made it an unexciting investment opportunity.

Factom plans to focus on data integrity and data organization, which Snow said will be critical for supply chain and internet-of-things security.

Regardless of what happens to Factom, Inc. the Factom protocol will live on because of its decentralized nature, Snow said.

The story has also been updated to show Factom retained six employees as contractors.