Entrepreneurship

JPMorgan Partners With Microsoft To Use Blockchain Against Social Problems

The largest bank in the United States has partnered with the largest software provider to bring enterprise blockchain to the masses.

In a joint statement released today, JPMorgan explained in greater detail what the partnership with Microsoft means, not only to enterprises looking to use the publicly available Quorum blockchain JPMorgan helped create, but in an unusually bold statement from a financial institution, to society at large.

“We are incredibly proud of the success Quorum has had over the last four years, as organizations around the world use Quorum to solve complex business and societal problems via blockchain solutions,” said Umar Farooq, global head of Blockchain, J.P. Morgan, in a statement.

The two companies, collectively valued at $1.3 trillion said they signed a memorandum of understanding to accelerate the adoption of blockchain among large enterprises. The statement positions JPMorgan as the first distributed ledger platform available through the Azure Blockchain Service, a series of tools designed to seamlessly integrate with Microsoft’s cloud platform.

As part of the agreement Microsoft with provide engineering, consulting and go-to-market support for the platform.

Both companies are on the first Forbes Blockchain 50 list published last month. While JPMorgan is so far the largest user of the open-source Quorum it helped create, with the JPM Coin product announced last month, Microsoft has taken more of a support position, aligning with a number of blockchain solutions. Microsoft’s Azure cloud is a growing source of revenue for the company, that was recently valued at $1 trillion.

Public blockchains like ethereum, which anyone can access, were originally hailed as ways to move value without middleman like banks, which many of their early users did not trust in the years following the financial collapse of 2007 and 2008. Permissioned versions like Quorum have promised to streamline workflows in the middle and back office of enterprises by removing middlemen in those processes, as well as increase transparency of a number of supply chains, though the statement does not provide any examples of the societal good the partnership could help bring about.

 

This article originally appeared on Forbes

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