American investment bank JPMorgan, Singapore bank DBS and investment firm Temasek are preparing a blockchain platform for international payments and interbank transactions.
The new company Partior will operate the platform. The blockchain will be used to digitize currencies and cross-border transfers. This will help make international payments almost instant and noticeably cheaper, as well as simplify currency exchange.
It is planned to use the results of the previous joint work of JPMorgan and Temasek in the framework of the Ubin project as a base for the new platform. It is a multi-stage initiative to create a blockchain system for cross-border payments. One of the important features of Partior will be the support of central bank currencies (CBDC) and their use for making payments. The platform should become a solid foundation for the global infrastructure for the exchange of digital currencies.
“The launch of Partior will be a watershed moment for the use of digital currencies around the world, heralding a shift from testing and experimentation to commercialization and real-world use,” said Sopnendu Mohanty, director of financial technology at the Monetary Authority of Singapore (MAS).
DBS CEO Piyush Gupta emphasized that through smart contracts and blockchain, Partior will support “instant cross-border multicurrency payments, trade finance transactions, currency exchange and securities settlement”. The platform will be programmable, and the data in it will be traceable and immutable.
Note that JPMorgan is also working with Taiwanese banks on a payment solution on the Confirm blockchain that will speed up transactions and reduce errors.
