JP Morgan has entered into a collaboration with Digital Asset Holdings, the blockchain start-up led by ex-JP Morgan executive Blythe Masters, through which the bank aims to trial the technology on its loan funds in an effort to improve liquidity for international clients. The partnership will see digital assets used as collateral and backed up against traditional loans from JPMorgan.
JP Morgan has entered into a collaboration with Digital Asset Holdings, the blockchain start-up led by ex-JP Morgan executive Blythe Masters, through which the bank aims to trial the technology on its loan funds in an effort to improve liquidity for international clients. Specifically, the bank wants to investigate how blockchain can enable it to deal better with liquidity mismatches that occur when clients withdraw funds at short notice, as well as exploring other uses for the technology within its investment banking business.