JP Morgan Chase and Co have recently tested the blockchain transaction in space using Danish Space company - GomSpace's satellites, which shows that the digital devices can use the technology supporting virtual currency transfer. The space company - GomSpace aims on engaging the space services & systems in the global market by introducing novel products within adept nanosatellites.
JP Morgan & GomSpace experimented with 2 GOMX-4 satellites in the Low Earth Orbit - LEO satellites that confirmed the method towards a decentralized system where transmission with the Earth is not requisite. It is the world's first bank-led tokenized space currency transaction, accomplished through smart blockchain platform contracts, initiated between the satellites orbiting the Earth.
This space-based transaction has thus announced the arrival of a peer-to-peer data vs payment (DvP) satellite marketplace in the prolonged-term, as particular firms prepare to instigate their constellations. Global head of JP Morgan's Blockchain platform 'Liink' tweeted that the JPM, the 1st bank with space-based transactions with the help of multiple satellites enables machine-to-machine transaction, programmable transfer value, perhaps an intergalactic currency backed by H2O/O.
Smart innovations such as Google Home & Amazon Echo do autonomous transactions. The CEO of JP Morgan's Blockchain business 'Onyx' - Umar Farooq quoted that their idea was to scout IoT transactions in a fully decentralized network and nowhere is more detached and decentralized from the Earth than Space. He even stated that they are nerdy hence it was way more excited to test the space-based transactions.
The CEO of cryptocurrency exchange BuyUcoin - Shivam Thakral told Financial Express Online - "I strongly credit that JP Morgan could have done this transaction test without outer satellites and space requirements. Their decision to choose outer space is possible due to the highest level of the decentralized network. The Blockchain platform erected between the satellites & tokenized transfer was done without any Earth communication which is similar to P2P transactions on the Earth within the blockchain without the use of any formal payment network. This enables payments between IoT devices without any human interference.
GomSpace's CEO - Niels Buss quoted that they are proud to have backed up JP Morgan as they have scouted this inventive use case of a space-based transaction system that utilizes blockchain technology. Along with SpaceX and Amazon, firms such as India's Pixxel, OneWeb, Facebook have recently reported about their working on sending their satellite to space. GOMX-4 satellites would further permit the firm to provide swift in orbit illustration, such as JP Morgan's Project, as a resource to its customers to scout new utilization of space technology.
As per Umar Farooq, IoT payments that could become from vision to reality on Earth include a self-driving vehicle that pays for the fuel or a smart refrigerator that could order and pay for milk on an e-commerce site. Shivam Thakral stated that as far as the payment future is concerned, this technology will bring an ultimate decentralization in finance platforms where even the internet is no longer required for the transaction. This will help global banking sectors to move towards blockchain networks to provide new-flanged banking.
Blockchain is a transaction's shared digital ledger in which financial firms have invested millions of $ to find technology advantages anticipating that it can narrow costs and untangle intricate IT procedures such as foreign transactions or security settlements. JP Morgan has been one of the most effective banks in blockchain, creating its own distributed ledger - Quorum (2016), which was sold to Consensys - a blockchain firm. In 2020, the bank created Onyx and a digital coin - JPM Coin.
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