Deutsche Bank Joins JP Morgan’s Blockchain-based IIN Payments Network

JP Morgan’s Interbank Information Network (IIN), a blockchain-based payments network has a new participant Deutsche Bank joining the platform.

As per the Financial Times report, with the entry of Deutsche Bank, the IIN network has a total of 320 participants as on date. The IIN network is an Ethereum-based blockchain network built by JP Morgan on Quorum network.

Using this platform, JP Morgan aims to cut down on costs and time required to make interbank settlements and resolving payments delays by leveraging the power of blockchain.

The Quorum network is the same network that also hosts the banks native cryptocurrency JPM Coin announced earlier this year in February 2019. The banking giant started the trial of using JPM Coin a few months back in June 2019.

The JPM Coin will be basically a stable coin issued against depositing cash at the bank. Earlier, the bank planned to use its native cryptocurrency to help its global clients make instant global settlements in billions of dollars in daily basis. As stated, the JPM Coin can be transferred on the banks permissioned distributed ledger, the Quorum network.

The JPM Coin will be initially linked to the U.S. Dollar and over a period of time, it will be linked to other fiat currencies.

Takis Georgakopoulos, managing director of treasury services at JPMorgan, said that the entry of a big giant like Deutsche bank will “help us drive towards ubiquity”. So far, the IIN network had some big limitations as it attracted only JP Morgan’s clients on the platform.

Deutsche Bank’s global head of cash management, Ole Matthiessen said that the IIN network helps to bring efficiencies by writing all payments data on a shared ledger. This, in turn, helps to quickly resolve the problematic process with less manual intervention.

Matthiessen said that IIN plans to have at least 400 members by the end of 2019 and also mentioned that other global banking giants are likely to join them over next few months.