![]() The second piece of the puzzle is a recent pilot that is being led by the Monetary Authority of Singapore and includes JPMorgan, DBS Bank and Marketnode and is dubbed “Project Guardian.” It tests institutional-friendly DeFi using permissioned liquidity pools that are made up of tokenized bonds and deposits. ![]() That kind of application on the Onyx Digital Assets blockchain, which is settled in the bank’s in-house digital token JPM Coin, has had $350 billion in trading volume, Lobban pointed out. One component is JPMorgan’s blockchain-based collateral settlement system that was extended last month to include tokenized versions of BlackRock’s money market fund shares, a kind of mutual fund invested in cash and highly liquid short-term debt instruments. Onyx Digital Assets sees two complementary parts to bringing bank-grade DeFi to fruition, Lobban explained. JPMorgan’s plans incorporating the tokenization of traditional assets point to a much larger scale. Institutional DeFi generally means imposing know-your-customer (KYC) strictures on crypto’s permissionless lending pools, which has started to happen in pockets of innovation such as Aave Arc, as well as in a recently announced project involving Siam Commercial Bank and Compound Treasury. “The overall goal is to bring these trillions of dollars of assets into DeFi, so that we can use these new mechanisms for trading, borrowing lending, but with the scale of institutional assets.” Treasuries or money market fund shares, for example, means these could all potentially be used as collateral in DeFi pools,” Lobban said. Speaking to CoinDesk at Consensus 2022 in Austin, Texas, Tyrone Lobban, head of Onyx Digital Assets at JPMorgan, described in detail the bank’s institutional-grade DeFi plans and highlighted how much value in tokenized assets is waiting in the wings.
0 Comments
Leave a Reply. |