2 years ago
140 The latest reports have confirmed that the Central Bank of Bahrain has now partnered with JP Morgan’s blockchain and cryptocurrency unit Onyx to test the Wall Street behemoth’s JPM Coin digital currency.
This test saw Bahrain’s Bank ABC initiate instantaneous payments for Aluminium Bahrain (Alba) with its partners in the United States using the JPM Coin network. The system is designed to operate as a payment rail and deposit account ledger that enables the participating entities to transfer their US dollars held on deposit with JP Morgan.
Governor of the Central Bank of Bahrain, Rasheed Al Maraj, stated:
“Through our work with ALBA, Bank ABC, and Onyx by JP Morgan, we aspire to address and eliminate the inefficiencies and pain points which exist today in the traditional cross-border payments arena.”
JP Morgan developed the JPM Coin digital token in 2019 to enable the quick settlement of transactions executed between the bank’s wholesale payments business clients. In 2021, the bank started offering the coin to its clients for commercial use.
A senior country officer at JP Morgan Bahrain, Ali Moosa, stated:
“The completed test with Alba and Bank ABC will help inform further development of JPM Coin Systems for future use by our correspondent banking partners.”
