JPMorgan's Global Head of Kinexys says traditional finance and public blockchains is converging
- Tokenization Insight
- Jun 10
- 2 min read
JPMorgan's Global Head of Kinexys Oli Harris says traditional finance and public blockchains is converging. Top takeaways.
1️⃣ The Industry Has Shifted From "Crypto Assets" to "Financial Infrastructure"
Oli Harris, Head of Kinexys, notes that previous cycles were driven by speculation and crypto asset prices.
Today, adoption is being driven by:
- Payments infrastructure
- Settlement infrastructure
- Collateral mobility
- Fund servicing
- Operational efficiency
The focus is increasingly on modernizing financial market infrastructure rather than creating new speculative assets.
2️⃣ Traditional Finance and Public Blockchains Are Converging
J.P. Morgan sees three ecosystems coming together:
- Digital money (stablecoins, tokenized deposits)
- Tokenized real-world assets
- Crypto-native assets
Institutions want:
- Access to public blockchain liquidity
- Distribution channels
- Shared infrastructure
- Interoperable settlement rails
Emma Landriault, Head of Kinexys Labs, notes: "You are seeing a mirroring of traditional markets on the public blockchain ecosystem."
3️⃣ Institutional Adoption Depends on Three Requirements
- Compliance: AML, KYC, Sanctions screening
- Privacy: Protection of trading activity, Protection of client information, Confidential business operations
- Finality: Legal finality, Technical finality, Operational certainty
4️⃣ Blockchain Is Becoming a Capital Markets Infrastructure Upgrade
With three forms of digital cash co-existing - tokenized deposits, stablecoins and tokenized MMF - tokenization is upgrading the market infrastructure via cash and assets on compatible rails, atomic settlement and 24/7 markets.
➡️ Key implications for financial institutions around the world: experimentation costs are relatively low, but arriving five years late could be strategically dangerous for financial institutions.
✅ Explore more research on tokenized funds, stablecoins, tokenized deposits, market infrastructure, and collateral mobility:
Want to understand what matters next. Join Strategic Edge for exclusive research, strategic analysis, and commercialization insights shaping the future of tokenization and digital assets.
Comments