JPMorgan Chase & Co and Apollo Global Management are looking to pioneer collaboration with blockchain companies in a “proof of concept” initiative for fund tokenization on a blockchain platform.
This collaboration is part of the “Guardian” project led by the Monetary Authority of Singapore (MAS). It was unveiled at the Singapore Fintech Festival, showcasing the growing interest of traditional financial institutions in the blockchain industry.
In this strategic alliance, JPMorgan, through Onyx Digital Assets, partnered with Axelar, Oasis Pro (a fintech infrastructure provider), and Provenance Blockchain (a Web3 platform).
The joint goal is to manage large-scale client portfolios, execute trades, and facilitate the automated management of tokenized assets.
Oasis Pro, specialized in fintech infrastructure for real-world assets, implemented the tokenization of assets in the Provenance Blockchain Zone.
On the other hand, Axelar played a crucial role in enabling interoperability with the private network of Provenance Blockchain used for the project.
Anthony Moro, CEO of Provenance Blockchain, highlighted the importance of this collaboration, stating that it is a unique blockchain interoperability solution for institutional financial services.
Provenance Blockchain, with over $16 billion in supported transactions and currently holding $9 billion in real-world financial assets on-chain, brings a solid foundation to this collaborative initiative.
It significantly contributes to the necessary credibility and potential of blockchain technology for managing and recording financial assets on a large scale.
The Guardian project aims to develop solutions that enhance efficiency and outcomes for asset and wealth managers and investors.
Tyrone Lobban, head of Onyx Digital Assets, emphasized the importance of the goal to create scalable portfolios across various asset classes, regardless of where those assets are managed and recorded.
Other Big Fish Follow JPMorgan
This pact between JPMorgan and Apollo comes at a time when various traditional financial institutions show interest in blockchain ecosystems.
Earlier this year, major financial players like Charles Schwab Corp, Citadel Securities, and Fidelity Investments announced the establishment of the EDX Markets exchange.
Similarly, HSBC Holdings Plc, one of the world’s leading bullion banks, launched a platform that uses blockchain technology to tokenize ownership of physical gold stored in its London vault.
JPMorgan’s involvement follows the successful execution of the first live blockchain-based collateral settlement transaction in October. This transaction involved key financial players, including BlackRock Inc and Barclays PLC.
