JP Morgan has partnered with Siemens to create a blockchain system for the German corporation’s money transfers.
The system would be used to transfer funds automatically in Siemens’ accounts. It currently supports US dollars transfers and seeks to include the euro in 2022.
Global head of Coin systems at Onyx, Naveen Mallela, reveals that the infrastructure enables more programmable payment uses. Onyx is the blockchain unit at JP Morgan.
Siemens welcomes the collaboration saying that the technology is critical in supporting more transactions as the payment models continue to evolve.
The head of cash management at Siemens, Heiko Nix, says that the emerging digital models are changing the business environment.
The partnership is the latest in efforts by the global financial institutions to develop digital ledger technologies that leverage blockchain technology to verify transactions.
The new development comes as HSBC and Wells Fargo resolve to settle currency trade on blockchain technology.