Country Focus

JP Morgan to launch Japanese blockchain network in 2020

Speaking at a symposium on December 4, Haruhiko Kuroda claimed that the Japanese public had no demand for a central bank digital currency

Multinational investment bank JP Morgan will launch its blockchain-based payment network in Japan early next year, according to Bloomberg.

The network, dubbed the Interbank Information Network (IIN), will address issues of data sharing among banks and streamline payment transactions.

It will also be utilised as an anti-money laundering (AML) measure, with financial crime reportedly on the rise in Asia over the past year.

More than 80 Japanese banks are interested in the platform, with 20% of the total 365 global participants being from Japan.

The IIN is based on JP Morgan’s in-house blockchain platform Quorum. It was launched officially in 2017 when Deutsche Bank became the first financial institution to adopt it.

Dr Yukio Uchino of Daiwa Institute of Research said: “The benefits of participating are significant. Accumulating experience with IIN will lead to further efficiency, including standardisation of procedures.”

He added that while the potential benefits are vast, the main challenge will be “how to get major Chinese banks to join”.

China has recently warmed to blockchain technology, with President Xi Jinping stating that it is “vital” to the future of the country.

For more news, guides, and cryptocurrency analysis, click here.

Oliver Knight

Londoner ‘Ollie’ graduated from Birmingham City University with a journalism degree in 2016. He combines his writing with his love of crypto and blockchain here at Coin Rivet, saying “It disrupts well-established institutions (banks) while giving an avenue to the less fortunate to achieve financial freedom.” Like all true Londoners, his pet hate is… “People standing on the left-hand side of the escalators on the Tube!”.