JP Morgan’s Blockchain Interbank Information Network Expands To Over 100 Banksbr>
Global financial services company JP Morgan has announced that its blockchain-based Interbank Information Network (IIN) now has over 100 member banks.
Launched as a pilot in 2017, IIN minimizes friction in the global payments process, enabling payments to reach beneficiaries faster and with fewer steps. The network is utilizing blockchain technology to reduce the time correspondent banks currently spend responding to compliance and other data-related inquiries that delay payments. It is powered by Quorum, a permissioned-variant of the ethereum blockchain, developed by JP Morgan.
“Historically, correspondent banks communicate one-way, bank-to-bank, but we have transformed their interaction,” said Suresh Shetty, Blockchain Technology Lead for IIN. “When a payment detail is flagged for confirmation, different parties can interact simultaneously, requesting and sharing information.”
The first two banks to sign up – Australia-based ANZ and the Royal Bank of Canada – have been trialling the network for the last 12 months and now look set to be joined by 104 other banks from Latin America, Asia, Europe, the Middle East and Africa. The expanded network of banks will facilitate global cross-border payments in every major market.
JP Morgan said that the expansion of IIN demonstrates the firm’s leadership in developing blockchain technology at scale and commitment to creating solutions tailored to clients’ needs.
“The more banks that join the network, the more dramatic the reduction in payment delays,” said John Hunter, Head of Global Clearing for Treasury Services. “As the network scales, our clients’ payments will be processed faster with less operational expense.”