JPMorgan Chase & Co.
The bank's Tokenized Collateral Network (TCN) facilitated BlackRock Inc.
These tokens were subsequently transferred to Barclays Plc
As the crypto sector continues to evolve, such groundbreaking applications of blockchain technology are expected to be a focal point at the upcoming Benzinga's Future of Digital Assets conference on Nov. 14. The event aims to delve deep into the transformative potential of digital currencies and the innovations steering the industry.
While blockchain has been on Wall Street's radar for nearly a decade, its commercial applications remain limited, leading some to question its practicality in the financial sector.
However, Lobban emphasized that JPMorgan's Onyx Digital Assets network ensures almost immediate collateral movement, in contrast to traditional methods that could take a day.
This efficiency could unlock capital for use as collateral in successive transactions.
Ed Bond, JPMorgan's head of trading services, revealed plans to expand the range of assets usable as collateral, encompassing equities and fixed income.
Beyond TCN, JPMorgan has introduced the JPM Coin, a blockchain system that facilitates payments in dollars and euros for wholesale clients.
Since its inception, it has processed transactions worth approximately $300 billion up to June of this year.
The bank is also venturing into blockchain-based repo applications and is considering a digital deposit token to expedite cross-border settlements.
Other financial giants, including Goldman Sachs Group Inc.
Furthermore, firms like Banco Santander SA and Societe Generale SA have collaborated with the European Investment Bank to issue a digital bond using blockchain. Asset management companies, including Franklin Templeton, are also exploring blockchain-based transaction methods for their funds.
