According to Fortune magazine's report yesterday (14th), JPMorgan Chase, despite actively embracing blockchain technology for many years, has long adopted a "walled" strategy, only building private networks for client use.
However, yesterday, JPMorgan Chase announced a significant breakthrough: the bank collaborated with the oracle project Chainlink and the cryptocurrency project Ondo Finance, which focuses on real-world asset (RWA) tokenization, successfully completing a transaction settlement on a public ledger.
JPMorgan Chase Completes First Transaction Settlement on Public Chain
According to the announcement released by Ondo Finance, this transaction utilized multiple technologies to achieve cross-chain delivery versus payment (DvP) settlement.
First, the transaction used Ondo Chain's testnet, Ondo's tokenized short-term U.S. Treasury fund (OUSG), blockchain deposit accounts on JPMorgan's Kinexys digital payment permissioned network, and Chainlink's secure cross-chain coordination infrastructure, successfully achieving settlement of tokenized assets between the Kinexys digital payment permissioned blockchain network and Ondo Chain.
Further, the transaction used OUSG as the asset side, Kinexys digital payment as the payment side, coordinating a DvP solution for asset and payment flow, driven throughout by Chainlink running CRE.
CRE is a secure off-chain computational environment designed to coordinate activities across blockchains and existing systems, integrating Kinexys digital payment's synchronous settlement workflow to ensure seamless settlement between Kinexys digital payment and the Ondo Chain testnet environment, while maintaining institutional-grade security, compliance, and scalability standards.
Ondo Finance further noted that this transaction is not only the first application of Ondo Chain infrastructure but also marks a milestone in Kinexys platform settlement integration expanding from a completely private chain to a public blockchain.
Chainlink Founder: A Clear Signal of Traditional Finance and Decentralized Finance Convergence
Regarding this development, JPMorgan Chase executives also made positive comments. Nelli Zaltsman, Head of Settlement Solutions for JPMorgan's Kinexys Digital Payment Platform, commented:
"By securely and thoughtfully connecting our institutional-grade payment solutions with external public and private blockchain infrastructures, we can provide broader advantages and scalable transaction settlement solutions for our clients and the broader financial ecosystem.
This cross-chain solution demonstrates the achievements of powerful collaboration across different domains of the Web3 ecosystem, and we are excited to collaborate with Ondo and Chainlink to achieve the first transaction on the Ondo Chain testnet."
Meanwhile, Chainlink co-founder Sergey Nazarov also stated:
"I am extremely excited about our collaboration with JPMorgan Chase Kinexys and Ondo Finance, which is a clear signal of the convergence of traditional finance and decentralized finance that we have been discussing for years. Chainlink is designed precisely to enable secure and reliable execution of institutional-grade transactions across multiple blockchains that comply with the requirements of large institutions like JPMorgan Chase. Global institutions are increasingly aware that the public chain community is a huge potential market, and they need a set of reliable technical standards and cross-chain connectivity capabilities to successfully trade in this new world."
