Key Takeaways:
- CBB is focused on enhancing customer experience related to payment & settlement solutions.
- JPM coin’s successful trial marks a promising future.
An official statement from Bahrain’s Central Bank on Thursday declared the successful completion of the payment test of JP Morgan’s patented digital currency – the JPM coin, a digital coin to help make instant payments using blockchain technology. The collaborator of this test was JP Morgan’s blockchain and coin system ‘Onyx’.
The test involved successful real-time payments from Manama-based bank ABC to ALBA (Aluminium Bahrain). It was supervised by the Central Bank of Bahrain and the results were marked “promising”. The test is a standout as it is the first of its kind that has been trialed in that part of the world.
The statement from CBB focused on its vision to improve “customer experience for secure and efficient payment and settlement solutions”. Mr. Rasheed Al-Maraj, Governor of the CBB further stated, “We at the Central Bank of Bahrain are pleased to announce the success of this test, which is in line with our vision and strategy to develop and enrich the capabilities provided to stakeholders in the financial services sector in the Kingdom using emerging and pioneering technologies. Working with Alba, Bank ABC and Onyx from JPMorgan, we aspire to address and eliminate the inefficiencies that exist today in the area of traditional cross-border payments .”
Ali Al Baqali, CEO of Alba expressed his gladness to be a part of the “pioneering initiative” and to be able to contribute to the “successful testing of this advanced technology” that he is sure will improve cash management activities.
CEO of JPMorgan Bahrain, Ali Mousa, also commented on this success and said, “JPMorgan’s ONYX subsidiary is committed to spearheading the construction of the next generation of clearing and settlement infrastructure, and we are delighted to work with a leading central bank such as the Central Bank of Bahrain and an innovation-focused institution such as Bank of Bahrain. ABC to lead this project in the region. The completed testing with Alba and Bank ABC will help inform further development of the JPM digital currency systems for future use by our banking partners.”
