Banking giant JPMorgan has unveiled a cutting-edge programmable payment feature for institutional users of its blockchain-powered payment system, JPM coin. Clients can now customize and program payments for various financial needs.
The payment method will enable real-time, automated, and customizable payment operations. Mallela highlighted that users can automate transactions based on preset rules.
It will expedite processing and ensure operational continuity even during weekends and holidays by eliminating the need for manual checks.
JPMorgan and Siemens AG have achieved a milestone with the successful implementation of programmable payments. They initiated the testing phase in 2021.
Other major players like FedEx and Cargill, want to integrate this payment method in the coming weeks.
Institutions adopt Blockchain
The move aligns with a broader trend observed among major financial institutions, with HSBC, Euroclear, and Goldman Sachs at the forefront of incorporating blockchain technology into traditional finance.
HSBC’s venture into blockchain for trading, particularly its collaboration with Swiss digital assets firm Metaco, is a testament to this trend. The forthcoming platform will empower institutional customers to hold blockchain-based tokens representing non-crypto assets, expanding the horizons of financial innovation.
HSBC has made it fast and transparent to exchange of ownership stakes in actual gold through its blockchain program for gold trading. Investors can easily purchase and sell digital tokens—each of which represents ownership of a unique gold bar kept in HSBC’s London vault—using distributed ledger technology.
These developments mark a shift as blockchain looks set to integrate with the traditional finance sector. It will usher an era of efficiency, transparency, and automation in payments and transfers.