JPMorgan, National Bank Of Canada, Others Test Debt Issuance On Blockchain
As reported by Reuters on Friday, JPMorgan Chase & Co (JPM.N) has tested a new blockchain platform for issuing financial instruments with the National Bank of Canada and other large firms, seeking to streamline origination, settlement, interest rate payments and other processes. The trial took place on Wednesday and according to their statement “it mirrored the Canadian bank’s $150 million offering on the same day of a one-year floating-rate Yankee certificate of deposit.”
The open-source blockchain Quorum that JPMorgan developed in-house was used to build the platform over the past year. Umar Farooq, head of blockchain initiatives for JPMorgan’s corporate and investment bank said in an interview that JPMorgan is considering spinning off Quorum as its own company because the technology has attracted significant outside interest.
This is just another example of how large financial firms are optimistic about Blockchain’s potential, as worldwide interest and involvement continue to grow.