American banking giant JPMorgan Chase is planning a spin-off of its main blockchain project Quorum to increase the platform’s adoption as an independent entity, reported Financial Times.
Designed as a customised form of blockchain technology using Ethereum network, the bank developed Quorum to streamline some of its operations including cross-border payments and clearing.
The development was led by JPMorgan Blockchain Center of Excellence executive director Amber Baldet.
Blockchain utilises distributed ledger technology to transmit information to a chain of connected computer systems secured by cryptography.
Most of the lenders were hesitant in using Quorum due to its close association with JPMorgan preventing it to become an industry standard.
Accordingly, the bank is now working to have a spin-off of its main blockchain project that will be a separate entity.
JPMorgan spokesperson refused to comment on the speculation.
Currently, it is not clear if the JPMorgan employees who have been working on Quorum project will get shifted to the new entity.
In October last year, the US bank announced that it would be using Quorum to develop an interbank payments platform along with Australia and New Zealand Banking Group, reported Reuters.