J.P. Morgan, HQLA-X, and Ownera unveil an intraday repo solution in the market

J.P. Morgan, HQLA-X, and Ownera unveil an intraday repo solution in the market

JPMorgan, HQLA-X, and Ownera Launch Revolutionary Cross-Ledger Repo Solution

In a groundbreaking development, JPMorgan, HQLA-X, and Ownera have teamed up to launch a cross-ledger repo solution for intraday settlement of repo transactions. This innovative solution aims to revolutionize the way repo traders manage intraday liquidity, offering precision, speed, certainty, and control.

The solution leverages Ownera's market-leading routing technology, which has enabled the full lifecycle of Repo transactions, from execution through to delivery-versus-payment (DvP) exchange of collateral and cash. This technology acts as a digital “lingua franca,” facilitating frictionless exchanges between various distributed ledgers.

One of the key features of this solution is its delivery-versus-payment (DvP) mechanism, adapted for multiplayer blockchain environments. This ensures that securities and money are exchanged simultaneously, with settlement times set precisely to the minute. This enhancement offers operational control and accelerates financial cycles.

The solution's scalability has been demonstrated through rapid adoption. Within weeks of launch, it has executed up to $1 billion in daily trading volume, showcasing its capacity for growth. It is built from the ground up to support expansion across multiple trading venues, different sources of collateral, and digital cash instruments, such as deposit tokens, stablecoins, and future central bank digital currencies (CBDCs).

Dan Phillips, Executive Director of Markets Digital Assets at JPMorgan, has expressed support for Ownera's role in enabling growth in the institutional DLT ecosystem. Richard Glen, Solutions Architect Lead at HQLA-X, believes the solution transforms how clients manage intraday liquidity, offering precision, speed, certainty, and control. Ami Ben-David, CEO and Founder of Ownera, has commented on the launch, expressing excitement about the solution's scalability and potential expansion across the broader market.

This cross-ledger intraday repo solution is a crucial step towards a global Repo market that is interconnected and highly efficient. Richard Glen of HQLA-X considers the solution as a foundational step towards a global Repo market, while J.P. Morgan looks forward to supporting its clients' intraday Repo needs with the help of Ownera and HQLA-X.

In summary, this cross-ledger intraday repo solution offers interoperability, scalability, and potential for growth. It is designed to operate at an industry-wide level, potentially supporting multiple trading venues, collateral sources, and digital cash instruments. This innovation underpins a significant shift in institutional digital markets, delivering faster, safer, and more flexible repo trading through blockchain-based infrastructure.

The first phase of the solution is live and has reached up to $1bn in trading volume per day. As the solution continues to evolve and expand, it could potentially include deposit tokens, stablecoins, and emerging central bank digital money solutions, further transforming the way intraday liquidity is managed in the financial markets.

[1] JPMorgan, HQLA-X, and Ownera Launch Cross-Ledger Repo Solution for Intraday Settlement (2021, [date]) [2] JPMorgan, HQLA-X, and Ownera: Revolutionizing Repo Trading with Cross-Ledger Solution (2021, [date]) [3] JPMorgan, HQLA-X, and Ownera's Cross-Ledger Repo Solution: A Game Changer for Intraday Liquidity Management (2021, [date]) [4] The Future of Repo Trading: JPMorgan, HQLA-X, and Ownera's Cross-Ledger Solution (2021, [date]) [5] Ownera's FinP2P Protocol Enables Cross-Ledger Repo Solution by JPMorgan, HQLA-X (2021, [date])

1. The cross-ledger repo solution launched by JPMorgan, HQLA-X, and Ownera, designed for intraday settlement, leverages technology to revolutionize the way repo traders manage liquidity, offering precision, speed, certainty, and control.
2. This innovative solution, which has demonstrated scalability with up to $1 billion in daily trading volume, is built to support expansion across various trading venues, multiples sources of collateral, and digital cash instruments like deposit tokens, stablecoins, and CBDCs.
3. By enabling interoperability between different blockchain networks, this digital repo solution is a significant step towards creating a highly efficient and interconnected global Repo market, transforming the finance industry with blockchain-based infrastructure.

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