Societe Generale And Santander Among The 75 Banks Joined Blockchain System JPMorgan
75 banks have joined the blockchain payment network, patented by JPMorgan, according to the Financial Times. It is expected that members of the network will eventually be able to process 14,500 payments in USD per day.
JPMorgan filed a patent for the interbank information network in October 2017 and published it in May 2018.
The patent describes a common distributed payment system and lists the ways in which it can create faster transactions. The main advantage, according to the Bank, is the ability to cut off intermediaries; under the traditional system, even simple international payments often have to go through a chain of several banks.
Emma Loftus, global head of global payments and accounts receivable at JPMorgan Treasury, said that communication problems can cause serious delays in transferring money, and blockchain technology will allow companies to solve this problem.
JPMorgan initially launched the service with two partners-Royal Bank of Canada and Australia and New Zealand Banking Group Limited. Since then, the number of members has reached 75, including such large institutions as Société Générale and Santander.
Examples of other banks involved in this technology include Morgan Stanley, who earlier in September announced that he has a bitcoin swap ready to launch, and Goldman Sachs, who announced in may that he will soon begin trading cryptocurrency contracts with customers.