More than 75 banks globally have now joined a blockchain-based payment project led by JPMorgan Chase to test how to streamline cross-border transactions.
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According to the Financial Times, Societe Generale, Santander and an additional 70 banks worldwide have now signed up to test the Interbank Information Network (IIN), which JPMorgan, Royal Bank of Canada and Australia and New Zealand Banking Grouphave already been testing out for close to a year.
The shared ledger, IIN, which was built by JPMorgan in 2017 through its own blockchain platform called Quorum, allows banks to quickly and easily add or change information about payments sent between them. The new initiative is expected to minimize friction in the current global payments process that often leads to payments being held up for weeks.
Emma Loftus, head of global payments and foreign exchange at JPMorgan Treasury Services, said blockchain capabilities have allowed banks to “rethink how critical information can be sourced and exchanged.”
According to the report, banks will put around $14,500 worth of transactions a day into the ledger.
JPMorgan said that number will expand exponentially as the number of participating banks increase. It also said it hopes to expand the program into other payments in non-US currencies.