Quorum Blockchain by JP Morgan Is Tokenizing Gold Bars for Global Traders
Wall Street is interested in blockchain. Recently, Ripple claimed to have received an over 400 percent quarter-on-quarter increase in direct institutional buying at their company. The most prominent name in American financial markets, JP Morgan is finding new use cases for blockchain technology. According to recent reports, the bank is using its Quorum blockchain solution to help sustainable miners receive a premium on global market prices by tokenizing gold bars.
The Enterprise Version of Ethereum
Quorum is the enterprise version of Ethereum that works on smart contracts. The blockchain is designed to provide more privacy and deliver on high-end performance metrics which makes use of the decentralized architecture of the Ethereum system and tops it up with JP Morgan’s experience in providing banking solutions.
Umar Farooq, the head of blockchain initiatives at the bank noted:
“We are the only financial player that owns the entire stack, from the application to the protocol.”
By tokenizing assets, a digital version of the commodities become available to be moved easily on distributed ledgers. The ability to tokenize assets like this for the global digital economy could help in creating new use cases for blockchain technology and allow it to enter industries that have remained unchanged for years.
The most important feature of tokenization is that it allows parties engaged in exchange to work together directly instead of depending on an exchange or a brokerage. This helps in reducing costs and mitigating risks while making the exchange simpler and quicker.
Original link: https://blokt.com/news/quorum-blockchain-by-jp-morgan-is-tokenizing-gold-bars-for-global-traders