JPMorgan Chase & Co. is about to shake hands with Temasek Holdings Pte. and DBS Group Holdings Ltd. in order to create a new blockchain-based payments platform for trade and foreign exchange settlement. The company will be named Partior and is going to leverage blockchain technology and digitize M1 commercial bank money with the target of decreasing current frictions and latency for cross-border transactions.
JPMorgan Teams Up With Temasek Holdings and DBS
As revealed in a statement by the firm on Wednesday, Partior will be reducing inaptitude for trade and currency settlements, cross-border payments, and frictions that are present currently.
The Latin meaning of Partior is to distribute and share, and in addition to this, it should expect to develop a wholesale payment rail based on the digitized commercial bank money.
In accordance with the statement, this will be enabling atomic or instantaneous arrangements of payments for various kinds of financial transactions.
Moreover, this will be assisting the banks to overcome challenges presented by the present standard sequential method of processing global payments.
Sopnendu Mohanty, the Chief Fintech Officer at the Monetary Authority of Singapore, released a statement that read:
“The launch of Partior is a global watershed moment for digital currencies, marking a move from pilots and experimentations toward commercialization and live adoption.”
Partior to Focus on Facilitating Flows for Blockchain Technology
Partior is about to target some of the most favorable use cases for blockchain technology. Processes like cross-border transactions can often be slow and cumbersome even in the digital era, so there is plenty of space for improvement.
In addition to this, the new platform will initially be focussing on facilitating flows primarily between the banks based in Singapore in both the USD and Singapore dollars with the intention to stretch service offerings to other markets and currencies.
It will be engaging banks to team up with the platform to establish the scale required to benefit the industry.