- JPMorgan, the largest bank by assets under management in the U.S., has formed a new partnership with six major Indian banks to launch a pilot program designed to test a blockchain-based platform for the settlement of interbank dollar transactions.
This development comes as New Delhi is attempting to position GIFT City as an international financial hub and alternative trading center to places like Singapore and Dubai. As part of this effort, the Reserve Bank of India has also started a domestic non-deliverable forward market settled in dollars at GIFT City.
“By leveraging blockchain technology to facilitate transactions on a 24x7 basis, processing is instantaneous and enables GIFT City banks to support their own time-zone and operating hours,” said Kulkarni.