Temasek, DBS, JP Morgan launch blockchain-based cross-border payment platform

Singapore’s $214 billion state investor Temasek, financial services group DBS and US investment banking firm JP Morgan will jointly establish a new venture named Partior, what the trio described as an open industry platform to “reimagine and accelerate value movements for payments, trade, and foreign exchange settlement”.

Details of how the management of Partior will be split among the investors were not disclosed.

In traditional cross-border payments, there are pain points such as multiple validations of payment details by banks, which translate to costly and onerous post-transaction exception handling and reconciliation activities.

Partior will be created to bring more efficient digital clearing and settlement solutions across the banking industry through the use of blockchain, the parties said in a joint statement. Partior will also develop wholesale payments rails based on digitised commercial bank money to enable atomic, or instantaneous settlement of payments for various types of financial transactions.

Upon completion, the platform aims to provide 24/7 infrastructure that will enable financial institutions and developers to co-create applications that support use cases such as FX payment versus payment, delivery versus payment (DVP) and peer-to-peer escrows to complement and value-add to global financial ecosystems.

The platform will start with a focus on facilitating flows primarily between Singapore-based banks in both USD and SGD, before expanding its service offerings to other markets and in other currencies.

“The current hub and spoke arrangement in global payments often results in delays as confirmations from various intermediaries are needed before a settlement is treated as final. This in turn has a knock-on effect and creates inefficiencies in the final settlement of other assets,” commented Piyush Gupta, CEO of DBS Bank.

Gupta added that the blockchain and smart contracts technology will help banks provide real-time cross-border multi-currency payments, trade finance, foreign exchange and DVP securities settlements.

Partior is built on a previous partnership between Temasek, DBS, and JP Morgan in Project Ubin, an industry initiative by the Monetary Authority of Singapore (MAS) to explore the application of blockchain technology involving multi-currency payments and settlements.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.