JPX plans capital markets blockchain consortium
Japanese Exchange Group (JPX) is to form a consortium to create a test environment for proof of concept using open-source distributed ledger tech, Hyperledger, in partnership with IBM. After internal research last year, JPX decided the distributed ledger technology platform required further research and development ahead of a live production environment. It is looking for broad participation across the financial sector with a view to begin testing in Spring 2017.

Japan Exchange Group is to form a consortium of financial institutions to run trials of the use of blockchain technology in capital markets infrastructures.

The Tokyo Stock Exchange together with the Osaka Exchange and Japan Securities Clearing Corporation (JSCC) will lead the coalition which intends to create a test environment for PoC using Hyperledger fabric, the open source DLT platform, in cooperation with IBM.



An internal research effort by JPX last year concluded that while DLT has the potential to transform capital market infrastructures, further research and development is still needed before going into a live production environment..



The exchange says that it will seek participation from a wide range of Japanese financial institutions in order to gather broad industrial expertise ahead of testing in spring 2017.





"We will consider a structure for efficient information sharing between the DLT engineer community and financial institutions through efforts such as training on DLT technology by DLT engineers and training on operational workflows by financial institutions," states JPX.