JPMorgan Chase tokenized a private-equity fund on its Kinexys blockchain platform, making the offering available to wealthy clients served by its private bank. The bank announced the development on Thursday. The first live transaction using the new Kinexys Fund Flow system involved JPMorgan Asset Management, the Private Bank, and Kinexys Digital Assets, along with fund administrator Citco, according to the Wall Street Journal. The transaction was completed on the bank’s private, permissioned blockchain ne ...

Core Insights - JPMorgan has launched a new blockchain-based tool called Kinexys Fund Flow to enhance the distribution and servicing of alternative investment funds, indicating a deeper commitment to tokenization [1][3] - The platform aims to provide a shared, real-time view of investor activity for fund managers, transfer agents, and distributors, while minimizing manual reconciliation and delays in capital movement [1] - The first live transaction using this tool involved multiple business lines within JPMorgan, showcasing its integrated approach to blockchain technology [2] Industry Trends - The launch of Kinexys Fund Flow is part of a broader trend among major financial institutions to adopt blockchain technology and tokenization in traditional finance [3] - JPMorgan has been proactive in this space, having developed JPM Coin in 2019 and launching its blockchain unit, Onyx, in 2020, which has since been integrated under Kinexys [3] - The bank plans to expand the rollout of Kinexys Fund Flow in early next year, reflecting ongoing investment in digital asset solutions [4]