JP Morgan Chase will now use its blockchain pay platform for a variety of uses to help smooth the banking system`s payment system and to build a network that spans the globe. JP Morgan is also inviting fintechs to experiment on how to develop the platform, asking for input on ideas. They are building an ecosystem the drives innovation, leveraging startups in fintech to be specific.
The bank payment system or settlement system is now being built out and realized. The expansion of the Interbank Information Network or IIN which enables banks to share information globally has been expanded as 75 of the world’s leading banks have joined the venture over the past year. The global banking system has cooled toward blockchain technology and has started to focus on traditional systems. However, according to John Hunter, Head of Global Clearing at JP Morgan, development of IIN continued apace with product development on that platform – in the end it is all about expansion.
More than 220 banks have signed up for the original basic payment system, for sharing information on the platform, and according to the technology discussed, this platform can solve problems far more efficiently and faster than current systems.
Finally it is important to note that IIN is building out an ecosystem that allows fintech startups to work with JP Morgan in building out new applications and software to continue to improve the payment and settlement systems. Right now the IIN service is free but in the future it may eventually offer paid for and commercial applications, with banks choosing what type they want to use.