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JPMorgan’s Blockchain Activities Shows Technology’s Potential Growth

Published 19/12/2023, 10:55
JPMorgan’s Blockchain Activities Shows Technology’s Potential Growth
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  • Reports suggest that 2023 witnessed an array of developments in blockchain technology.
  • Franklin Templeton’s mutual fund program on the Polygon blockchain saw $329 million in net assets in November.
  • JPMorgan’s increasing activities using its blockchain applications show the potential growth of the technology.

A recent Bloomberg report shed light on the widening adoption of blockchain technology, unveiling a list of recent developments in the industry. While 2023 witnessed an array of industrial activities, a groundbreaking move was the global investment management organization Franklin Templeton’s alliance with the blockchain platform Polygon.

Earlier this year, Franklin Templeton launched a mutual fund program on the Polygon blockchain with the aim of fostering “operational efficiencies through the use of a blockchain-integrated system, including increased security, faster transaction processing, and reduced costs, benefiting Fund shareholders.” According to the Bloomberg report, by the end of 2023, the Franklin OnChain U.S. Government Money Fund has acquired around $329 million in net assets.

Reflecting on the growth of blockchain technology, industry experts, including Sandy Kaul, the Head of Digital Asset and Industry Advisory Services at Franklin Templeton, commented on the substantial role of financial companies and “hypervigilant” regulators. Kaul further stated,

Adoption of the technology is actually accelerating very quickly. For the first time, you can really now see the pathway to us re-engineering the global financial markets ecosystem.

Another major development of 2023 involved the US money transfer platform MoneyGram International’s partnership with the Stellar blockchain, facilitating the easier transaction of stablecoins and their conversion using MoneyGram. However, commenting on the restrictions that remain an impediment to the flourishing of blockchain businesses, MoneyGram CEO Alex Holmes posited that around 20 of the 2,000 staff members work on the blockchain. He added,

We are staying small and building into it…It’s somewhat proportional to the expectations around some of the revenue and profitability.

Nonetheless, certain instances, including JPMorgan’s $1 billion worth of JPM Coin daily transactions, are indicative of blockchain technology’s potential growth. As per the report, JPMorgan’s activities utilizing its blockchain applications have doubled over the course of 1 year.

The post JPMorgan’s Blockchain Activities Shows Technology’s Potential Growth appeared first on Coin Edition.

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