First Abu Dhabi Bank has announced the successful completion of a pilot project for the use of programmable payments with JPM Coins through Onyx by JPMorgan.
The mentioned programmability provides for the possibility of some kind of payment settings. In this case, it is implied that transactions of the appropriate category will be made at a specified time or in terms of certain events. The relevant information is contained in a press release published by First Abu Dhabi Bank.
The specified press release notes that the successful pilot project generates opportunities for a dynamic and automated financing and settlement solution for the mutual clients of the mentioned bank and JPMorgan. Also in this case, it was separately underlined that the appropriate solution would enable customers to take advantage of Onyx’s programmable capabilities in real-time and/or event-based.
The press release notes that within the framework of the pilot project, it was successfully completed time-based and threshold balance-based account funding into deposit accounts to execute a payment obligation.
The mentioned innovative solution can provide flexibility for customers, allow lenders to generate a wide range of programmable scenarios, and allow treasurers to transition from forecasting to dynamic financing or just-in-time financing. The relevant information is contained in the press release.
The pilot project will also form a platform for use cases such as automatic and conditional invoice payment transactions, margin financing, and settlement solutions. This information is also contained in the press release.
Naveen Mallela, co-head of Onyx by JPMorgan, said this brand is delighted to partner with First Abu Dhabi Bank to expand its offerings of programmable payments for multibank use cases. He also noted that, according to the Onyx team, digital programmable ledgers will become the basis for the finternet in the coming years.
Last November, Onyx announced the launch of programmable payments through JPM Coin and stated that the multinational conglomerate Siemens AG became one of the first users of this feature. At that time, Peter Rathgeb, group treasurer of Siemens AG, stated that programmable payments provide the opportunity to leverage blockchain-based bank accounts 24/7 in combination with programmability, which will contribute to increasing the level of automation, optimizing the use of working capital and supports data-driven digital business models.
This month, it also became known that JPMorgan intends to use its blockchain services to increase its share in the corporate banking market in Switzerland. It is worth noting that the relevant services are already used in Germany by companies such as Siemens. With these and other proposals, the financial institution is implementing efforts aimed at expanding its corporate banking business in Switzerland over the next three to five years.
It is worth noting that blockchain technology contains significant potential in the area of cross-border payments.
As we have reported earlier, Qatar National Bank Launches Contactless Biometric Payments/
