JPMorgan Chase – JPMorgan, DBS and Temasek to Float Blockchain Cross Border Payment Platform Partior
The new initiative is not a surprise for many as JPMorgan Chase, DBS, and Temasek are not new players in the blockchain and digital currency ecosystem.
American investment bank and financial services holding company, JPMorgan Chase & Co (NYSE: JPM) is teaming up with Singapore’s largest bank, DBS Bank, and state-owned investment outfit Temasek to float a blockchain-based cross-border payment and settlement platform dubbed Partior. According to a joint statement issued by the trio, the platform will digitize commercial bank money so as to remove the drudgery associated with “cross-border payments, trade transactions, and foreign exchange settlements.”
The place of blockchain technology as a functional tool in streamlining cumbersome financial processes is growing today. There’s now a huge interest in the capabilities of blockchain and distributed ledger technologies being adopted by mainstream banks today. The Partior platform, as noted by the partners will help eliminate the multiple validations on payment details by banks. This helps to reduce transaction costs and the avoidable delays in cash settlement amongst other benefits.
Partior by JPMorgan and Others
Partior is billed to focus on developing wholesale payments solutions that will enable real-time transaction settlement as against the standard sequential method of processing global payments.
“The current hub and spoke arrangement in global payments often results in delays as confirmations from various intermediaries are needed before a settlement is treated as final. This, in turn, has a knock-on effect and creates inefficiencies in the final settlement of other assets,” said Piyush Gupta, Chief Executive Officer, DBS Bank. “By harnessing the benefits of blockchain and smart contracts technology, the Partior platform will address current points of friction. The open platform will enable banks around the world to provide real-time cross-border multi-currency payments, trade finance, foreign exchange, and DVP securities settlements on a world-class platform, with programmability, immutability, traceability built into its suite of services.”
Per the announcement, the launch of Partior, as well as the operations of the platform, are subject to obtaining any required regulatory consents and approvals. However, when it is fully operational, the platform will be available to every user round the clock, and developers can leverage its framework to build a functional application that can broaden the platform’s use case in the financial industry.
JPMorgan, DBS and Temasek Are All Bullish on Cryptocurrencies
JPMorgan Chase, DBS, and Temasek are not new players in the blockchain and digital currency ecosystem. Besides JPMorgan Chase strategists occasionally sharing their predictions about Bitcoin’s price which shows a considerable interest by the company, the firm has reportedly launched a Bitcoin Fund dedicated to its wealthy clients.
DBS is known to own a digital currency trading platform while Temasek has been tipped to have exposure to Bitcoin per a Fintech Zoom report. The involvement of these three entities to create Partior which means to distribute and share in Latin is another way to notch up their overall trust in blockchain technology and its associated digital currencies to change the future of finance
Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.