DBS, JPMorgan, and Temasek announced plans to develop an open industry platform for cross-border payments using blockchain technology. Trading and foreign settlement in a new digital era through a newly established technology company.
According to the official announcement, DBS bank, JP.morgan and Temasek are generating an open platform through a blockchain technology company called “Partior.”
The company aims to disrupt the traditional cross-border payment ‘hub and spoke’ model. Partior perceives the requirement for more effective digital clearing and settlement arrangements across the banking industry.
The main focus on addressing these challenges using blockchain solutions enables next-generation programmer value transfer for participating banks. It will allow banks and their clients to transfer in real-time across a common and open platform. The partior platform also set its sights on developing wholesale payment rail based on digitised commercial bank money to enable “Atomic” transactions.
Piyush Gupta, Chief Executive officer, DBS Bank, said: “By harnessing the benefit of blockchain and smart contracts technology, the partior platform will address current point of friction. The open platform will enable banks around the world to provide real-time cross-border multi-currency payment, trade finance, foreign exchange, and DVP securities settlement on a world-class platform with programmability, immutability, traceability built into its suite of services.”
Sopnendu Mohanty, Chief Fintech Officer, Monetary Authority of Singapore, said: “The launch of partior is a global watershed moment for digital currencies, marking a move from pilots and experiementations towards commercialization and live adoption.”
The platform aims to provide 24/7 infrastructure. It will enable financial institutions and developers to co-create applications. That supports use cases such as FX payment versus payment, Delivery versus payment, and peer-to-peer escrows.
The platform will start focusing on facilitating flow primarily between Singapore-based banks in both USD and SGD. It intends to expand services offering to other markets in various currencies. Partior’s platform will also design to complement ongoing central bank digital currencies initiatives and use cases.
DBS is a leading financial services group in Asia with a presence in 18 markets. Headquartered and listed in Singapore. DBS is in three key Asian Axes of growth, Greater China, Southeast Asia, and South Asia. The bank’s “AA-“ and “Aa1” credit ratings are among the highest in the world.
DBS has been named “World’s Best Bank” by Euromoney. “Global bank of the year” by The Banker and “Best bank in the world” by Global finance. DBS has been recorded the “Safest Bank in Asia” award by Global Finance for 12 consecutive years from 2009 to 2020.
About JPMorgan Chase & Co
JPMorgan Chase & Co. is a leading global financial service firm with assets of $3.7 trillion and operations worldwide. The firm is leading investment banking, financial services for consumer and small businesses, commercial banking, and asset management. JPMorgan Chase and Co. serves millions of customers in the United States.
Temasek is an investment company with a net portfolio value of $306 billion as of 31 March 2020. Headquartered in Singapore, Temasek has 11 offices around the world. Temasek’s investment philosophy anchors around six investment trends. The first three of them mark social progress and the second three are enablers.