Goldman Sachs and Banco Santander to leave R3

Moreover, the startup is changing the structure of the deal and plans to give bank members a 60% equity stake in exchange for the funding. Most other banks have agreed to the new terms of the deal, but R3 does not expect all existing members to join the round.

Even though 90% of its original 42 bank members have expressed an interest in investing, Goldman Sachs Group and Banco Santander, both original R3 consortium participants, have renounced renewing their memberships and are not investing in the deal.

Furthermore, Morgan Stanley and National Australia Bank are also not participating, said the source, who requested anonymity to discuss plans that were not public.

Although Goldman and Santander have abandoned R3, they have investments in other blockchain startups, including Digital Asset Holdings, which is led by former JPMorgan executive Blythe Masters, according to Reuters.