Onyx, JP Morgan’s blockchain business unit, and fintech Broadridge have partnered to offer JPM Coin as the settlement mechanism for Broadridge’s DLR (Distributed Ledger Repo) platform.
The two firms have successfully tested use of JPM Coin with DLR, and it is expected that JPM Coin will be available to Broadridge users as a settlement solution by June 2024. The solution involves synchronised settlement across the two blockchain networks achieving delivery vs. payment (DVP) cross-chain, on the basis of “locking” cash and releasing it synchronously with the asset transfers.
Nelli Zaltsman, head of platform settlement solutions at Onyx, said: “We are delighted to launch our synchronised settlement solution using JPM Coin through our work with Broadridge. At Onyx, we look to be the foremost provider of Cash-on-Chain solutions to existing and steadily growing digital asset platforms globally.”
Horacio Barakat, head of digital innovation at Broadridge, said: “DLR continues to drive the transformation of global repo market infrastructure and this collaboration with JPM Coin represents another step in the digitisation of repo markets. This next innovation will power DLR as the ubiquitous intraday platform, leveraging existing market infrastructure in addition to new digital cash solutions.”
The pair said this is the first instance of JPM Coin providing settlement capabilities to an external digital platform and that given the lack of “cash-on-chain” solutions, this offering could act as a framework for other cash settlement solutions for other digital platforms going forward.
©Markets Media Europe 2024
