OrJPMorgan ganizations such as Chase and National Bank of Canada test the bond issuance with blockchain technology
On Friday, JP Morgan said it has tested a new blockchain platform. The platform is mainly used by JP Morgan Chase, the National Bank of Canada, and other large companies to issue financial instruments in order to simplify the process of loan issuance, settlement and interest rate payment.
They said in a statement that tests on Wednesday showed that Canadian banks issued one-year floating interest rate bonds on the same day for up to 150 million U.S. dollars. The platform uses the open source blockchain Quorum, and JPMorgan spent more than a year creating the platform. JPMorgan has completed internal development and will discuss the spin-off.
Goldman Sachs Asset Management, Goldman Sachs Group Inc.’s fund management, Pfizer Inc. and Legg Mason Inc. participated in the testing of the blockchain platform. Western Asset and other investors.
Banks have invested millions of dollars to develop blockchains. The software was originally used to run Bitcoin in order to simplify the process from cross-border payment to securities settlement.
David Furlong, senior vice president of artificial intelligence, venture capital and blockchain at National Bank of Canada stated in a statement:
Blockchain-related technologies may bring major changes to the financial services industry.
Umar Farooq, a blockchain project manager at JP Morgan Chase and an investment bank, said in an interview that JPMorgan is considering splitting Quorum because the technology has attracted a lot of interest. He said that it takes too much time to help other corporate users.
A person familiar with the matter said that since software support is not the Bank’s business, charges for assistance services are not desirable.
Farooq added that the spin-off discussions are still just beginning and that financial institutions and large corporate technology companies are interested in this. However, he refused to disclose the names of these companies.
He said JP Morgan plans to strengthen the Quorum team's work. The Quorum team consists of dozens of engineers familiar with this technology from other parts of the company.
Farooq said that the current application of the blockchain in the financial industry is still at an early stage, and JP Morgan is optimistic about the potential of the blockchain. He said:
We have yet to see products that have really entered the production stage on a large scale. In the current situation, there are very few blockchain projects that really produce color.
They said in a statement that tests on Wednesday showed that Canadian banks issued one-year floating interest rate bonds on the same day for up to 150 million U.S. dollars. The platform uses the open source blockchain Quorum, and JPMorgan spent more than a year creating the platform. JPMorgan has completed internal development and will discuss the spin-off.
Goldman Sachs Asset Management, Goldman Sachs Group Inc.’s fund management, Pfizer Inc. and Legg Mason Inc. participated in the testing of the blockchain platform. Western Asset and other investors.
Banks have invested millions of dollars to develop blockchains. The software was originally used to run Bitcoin in order to simplify the process from cross-border payment to securities settlement.
David Furlong, senior vice president of artificial intelligence, venture capital and blockchain at National Bank of Canada stated in a statement:
Blockchain-related technologies may bring major changes to the financial services industry.
Umar Farooq, a blockchain project manager at JP Morgan Chase and an investment bank, said in an interview that JPMorgan is considering splitting Quorum because the technology has attracted a lot of interest. He said that it takes too much time to help other corporate users.
A person familiar with the matter said that since software support is not the Bank’s business, charges for assistance services are not desirable.
Farooq added that the spin-off discussions are still just beginning and that financial institutions and large corporate technology companies are interested in this. However, he refused to disclose the names of these companies.
He said JP Morgan plans to strengthen the Quorum team's work. The Quorum team consists of dozens of engineers familiar with this technology from other parts of the company.
Farooq said that the current application of the blockchain in the financial industry is still at an early stage, and JP Morgan is optimistic about the potential of the blockchain. He said:
We have yet to see products that have really entered the production stage on a large scale. In the current situation, there are very few blockchain projects that really produce color.
