JP Morgan Chase is currently working on a private version of a renowned blockchain network called Ethereum, with the purpose of using it for confidential transactions.
Blockchain distributed ledger technology is well-known for bolstering trading that involves the digital currency bitcoin, however, it has numerous other uses in prospect.
Without getting into specifics, it is a shared digital ledger for data recording, such as, for instance, the transfer of assets between two or more entities.
JP Morgan’s project, bearing the name Quorum, will enable it control who has access to transactions on the Ethereum network. Quorum is being developed by a team consisting of an Ethereum developer and EthLab. JP Morgan also mentioned that it will be updated alongside future Ethereum releases.
During the presentation in Geneva, developers said that Quorum would provide “best of both worlds”, with each point of the network authorising transactions while only disclosing the details of those transactions to parties possessing admittance.
The code for Quorum will be given to outside developers — the strategy the bank has recently started to use in order to attract quality engineers to collaborate, reported the Wall Street Journal.
The program lead on Quorum Amber Baldet claimed that the team’s target is to create the most stress-tested financial systems the world has ever known.
Yvonne Dunn, a financial services technology expert of Pinsent Masons, commented the following on the subject: “This is an interesting example of blockchain’s rapid maturity. Having reached public consciousness in the context of bitcoin, it is now evolving into a much broader tool with many interesting applications. The financial services sector in particular is embracing the potential opportunities that blockchain represents.”