Bank ABC Launches Blockchain-Based Payments with JPMorgan’s Onyx Coin System

Breaking New Ground in Cross-Border Payments

In a significant leap toward modernizing the financial landscape, Bahrain’s Bank ABC announced the limited launch of a groundbreaking blockchain-based payment system powered by JPMorgan’s Onyx Coin Systems. This new service not only promises to be more cost-effective but also slashes settlement times significantly compared to traditional methods. Who knew sending money across borders could feel almost as instant as a text message?

Currency and Geographic Scope

Bank ABC has decided to kick off this revolutionary service using the U.S. dollar for transactions involving several key global players, including Bahrain, the U.S., the U.K., Singapore, and Hong Kong. And if that isn’t enough to whet your appetite, word on the street is that there’s more on the menu—plans for transactions involving the euro are in the works too!

The Rise of Programmable Payments

As if cutting down fees and making transactions faster weren’t game-changing enough, Bank ABC is also looking into programmable payments. Imagine being able to set rules that dictate when and how a payment is made. It’s like having a personal assistant for your money—except this one won’t try to steal your lunch!

A Two-Year Labor of Love

The journey to this launch has been anything but rapid. After two years of rigorous testing, the collaboration between Bank ABC and JPMorgan has finally yielded fruit. Naveen Mallela, Global Head of Onyx Coin Systems, commented on this milestone:

“This enables cross-border commercial transactions to be executed between Bahrain and US corridors instantly, atomically and with certainty.”

Success from Pilot Trials

Before this grand debut, a pivotal trial took place in January 2022 under the keen eye of the Central Bank of Bahrain (CBB). Using JPM Coin, Bank ABC successfully settled payments between Aluminium Bahrain and its U.S. partners. Sometimes, you just need a little help from your friends—or a billion-dollar bank, in this case!

Dominating the Blockchain Scene

In a region ripe for innovation, Bank ABC has become the first bank to partner with JPMorgan’s blockchain service in the Middle East. Earlier this year, Onyx also tested U.S. dollar settlements with six Indian banks and sealed a partnership with the German Siemens conglomerate to handle euro transactions. It looks like blockchain technology is not just a buzzword anymore; it’s here to stay!