French banking giant BNP Paribas (EPA) has partnered with JPMorgan’s (JPM) blockchain-based network to provide fixed income market trading.
BNP up +0.80%, BTCUSD up +0.47%, JPM 1.41%, Pre-market trading
The Onyx Digital Assets network utilizes tokens for short-term trading in fixed income markets, allowing investors to lend out assets for as little as a few hours without them leaving their balance sheets.
Joe Bonnaud, global markets chief operating officer for BNP Paribas stated that the partnership is part of the effort to use technology for trading and operations lifecycle as the market progresses.
Three-quarters of arrangements on the repo market are supported by government bonds, signaling it is one of the major sources of collateral for banks to finance their balance sheets.
Goldman Sachs (GS) has also initially relied on JPMorgan’s network for repurchase or repo trading.
Since its launch in 2022, Onyx Network has transacted nearly $300 billion of intraday repurchase deals.