At a time when the finance sector was male dominant Blythe Masters made a name for her. With her hard work and zeal she reached the top. She is credited to have developed the Credit default swap derivate. She is the first and most notable Wall Street banker to go blockchain.

Let us have a look at 15 things you did not know about Blythe Masters.

1.Early life

Blythe Masters was born on 22nd March 1969 in Oxford and was raised in the south-east of England. His father was Gordon Levett. Her former spouse is Daniel Masters. She is now married to Gareth Evans.

Her schooling was from The King’s School in Canterbury. In 1991 she graduated from Trinity College, Cambridge with a B.A. in economics.

2.Joined JP Morgan as an intern

Blythe joined JP Morgan as an intern and every summer she worked at the bank until she had graduated and got a full-time job.

3.Youngest woman in the firm’s history

In 1991 Blythe joined the bank. Initially she was responsible for credit derivative products and then went on to become a managing director at 28, becoming the youngest woman in the firm’s history to achieve that status in the firm’s history.

4.Her growth in JP Morgan

  • Blythe served as the bank’s head of Global Credit Portfolio and Credit Policy and Strategy from 2001 to 2004.
  • She was Chief Financial Officer of the bank from 2004 to 2007.
  • She was named head of Global Commodities in 2007.
  • She was chair of the Securities Industry and Financial Markets Association (SIFMA) from2008 to 2010.
5.Credit default swap

While working at the bank Blythe helped in creating Credit default swap as a financial instrument which was used to manage credit exposure to underlying reference entities. It was a derivative that was hailed by many on Wall Street as a groundbreaking innovation before it played a major role in the 2008 financial meltdown.

6.Purchased credit protection

A credit line of $4.8 billion was extended by JP Morgan in 1994 to Exxon which was facing a threat of $5 billion in punitive damages for the Exxon Valdez oil spill. A team led by Blythe purchased credit protection against the credit line to the European Bank of Reconstruction and Development in order to cut the capital which J.P. Morgan was required to hold against Exxon’s default, thereby reducing its own risk. The bank later bundled together packages of such exposures and offered them to market as BISTRO, for Broad Index Secured Trust Offering and these new financial instruments were quickly adopted by other banking institutions.

7.Blythe encounter with The Guardian a UK newspaper

‘The Guardian’ described Blythe as the woman who invented financial weapons of mass destruction”. The paper however later apologized to Blythe for having failed to give her an adequate opportunity to respond to their characterization. She had told the newspaper: “I do believe CDS [credit default swaps] have been miscast, much as poor workmen tend to blame their tools.”

She then went on to explain to The Economist, “Tools that transfer risk can also increase systemic risk if major counterparties fail to manage their exposures properly.”

8.Left JP Morgan after 27 years

In 2014 Blythe left JP Morgan after working there for 27 years. She left the bank after the bank came under scrutiny by Federal Energy Regulatory Commission for allegedly manipulating with energy markets in California and Michigan. In order to pay the $410 million as settlement for the dispute the bank decided to sell its physical commodities business worth $3 billion.

 

9.CEO of Digital Asset Holdings

After leaving JP Morgan she joined Digital Asset Holdings as CEO in March 2015. It is a startup that develops distributed ledger technology for wholesale financial services to reduce cost, risk and capital requirements. The company has raised more than $100 million in number of funding rounds from some of world’s largest technology and financial firms such as Citibank, Goldman Sachs, JP Morgan, IBM and many more.

In December 2017, ASX announced that it was upgrading its post-trade settlement system to a blockchain platform designed by Digital Asset Holdings.

10.Honor

Blythe was ranked number 4 in the list of 100 Most Influential Women in Bloackchain by Richtopia a UK based company in May 2018.

11.Global Financial Markets Association

From 2012 to 2014, Blythe was chair of the Global Financial Markets Association (GFMA), she was also the Chair of the Securities Industry and Financial Markets Association from 2008 to 2010. These trade associations mission included promoting public trust and confidence in financial markets. Over a period of time she has frequently represented the industry in Washington D.C. on matters including the design of carbon markets to contain global warming, curbs on large commodities trading positions and the financial regulatory overhaul.

12.Stepped down

In December 2018 she stepped down as CEO of Digital Asset Holdings, the blockchain startup she joined to great fanfare in 2015. She continued as a board member, strategic advisor and a shareholder. She resigned as she wanted to give more time to her family.

13.Other roles

  • She is the Chairman of the Governing Board of the Linux Foundation’s open source Hyperledger Project.
  • Member of the International Advisory Board of Santander Group.
  • Advisory Board Member of the US Chamber of Digital Commerce.
  • From 2015 to 2016 she was the Chair of the Board of Santander Consumer Holdings Inc.(NYSE: SC), a full-service, technology-driven consumer finance company.

 

14.Member of associations in support for women

15.Net worth

Blythe’s net worth comes from being an Entrepreneur. According to many online resources, her estimated net worth as on August 25th 2019 was$1 Million – $10 Million (Approx.).