JPMorgan Pioneers Public Blockchain for Tokenized Treasury Trade

JPMorgan Chase & Co. has executed a landmark transaction using public blockchain infrastructure to settle tokenized U.S. Treasury securities. The banking giant’s new Kinexys Digital Payments unit facilitated the trade involving ONDO Finance’s tokenized fund (OUSG) on the Ondo Chain testnet, with cross-chain settlement enabled by Chainlink’s interoperability protocol.

The breakthrough demonstrates institutional-grade delivery-versus-payment functionality between private and public distributed ledgers. Payment settlement occurred on JPMorgan’s proprietary Kinexys blockchain while asset transfer took place on the public Ondo Chain - representing a novel cross-chain architecture for regulated financial instruments.

This pilot signals growing acceptance of public blockchain infrastructure by traditional finance, with JPMorgan emerging as an unlikely bridge between Wall Street and decentralized networks. The successful test points to accelerating institutional adoption of tokenization technology.