5 Blockchain Projects That the World’s Largest Banks Have Left Behind

4 weeks ago

0 25 4 minutes read

5 Blockchain Projects That the World's Largest Banks Have Left Behind

While the cryptocurrency market still oscillates between hype and real-world potential, many of the world’s largest banks have for many years been quietly innovating the technology that underpins them: blockchain.

Over the past few years at least, a range of experimental initiatives launched by public and private financial institutions have served to highlight the potential of blockchain to reimagine traditional banking systems.

Among the initiatives, the Fnality International consortium, JPMorgan’s Liink Network, Project Agora, Canton Network, and Versana platform are helping to uncover how financial giants are leveraging blockchain to boost efficiency, reduce costs, and enhance transparency.

Industry skeptics may continue to question whether these experiments are more hype than substance, but the growing number of bank-backed blockchain initiatives indicates what could be a practical shift toward adoption. After all, Bank of America holds More than 80 patents related to blockchain, making it one of the leading financial institutions in the field of blockchain intellectual property.

The commitment of major banks to these projects may indicate a growing recognition that blockchain technology could be more than just a passing trend. For an industry that can often be criticized for its resistance to change, these projects represent a bold step forward – and a glimpse into a more efficient, transparent and innovative financial system.

Fnality International is reimagining cross-border payments

Finality International It is an ambitious initiative that seeks to create a network of blockchain-based payment systems to leverage central bank token money. Backed by a group of global banks, including Santander, HSBC, Barclays and UBS, Fanality’s goal is to simplify cross-border payments, which currently suffer from high fees, slow transaction times, and opacity.

Fnality offers “Utility Settlement Coins” (USCs), digital representations of fiat currencies, which promise near-instant settlement and reduced counterparty risk. Unlike cryptocurrencies, USCs are fully backed by reserves held in central banks, ensuring regulatory compliance and stability. The platform is designed to integrate seamlessly with the existing financial system, and works with real-time gross settlement (RTGS) systems.

However, the initiative faces obstacles, including: Regulatory approval and widely adopted. Although central banks are cautiously supportive, they have traditionally remained wary of the systemic risks associated with tokenized money.

JPMorgan’s Liink is building a superhighway for banks

JPMorgan Chase has been a pioneer in experimenting with blockchain, and its Liink network is one of the most mature projects in the sector. Originally launched as the Interbank Information Network (IIN), Liink is a permissioned blockchain designed to facilitate faster and more secure information exchange between financial institutions.

The platform addresses a core banking pain point: inefficiency in inter-bank communications. For example, verifying account information or resolving payment disputes — tasks that often take days through traditional channels — can be completed in just minutes on Liink. More than 400 financial institutions worldwide have signed up to Liink, indicating strong interest in the network’s promise to reduce friction and enhance transparency.

Beyond telecom, JPMorgan has expanded its blockchain efforts with Onyx, a digital assets division that explores token deposits and decentralized finance (DeFi) applications. Projects such as JPM Coin, a stablecoin pegged to the US dollar, have been integrated into the Liink ecosystem, highlighting the bank’s ambition to offer a comprehensive range of financial services powered by blockchain technology. However, questions remain about scalability, interoperability with other blockchain networks, and broader industry adoption.

Project Agora aims to reshape trade finance

Trade finance – an industry worth more than $5 trillion annually – has long been marred by complexity and inefficiency. Project Agora, led by HSBC, BNP Paribas and other banking giants, aims to change that through blockchain. Built on the R3 Corda platform, Project Agora creates a shared digital ledger that tracks business transactions in real time, reducing reliance on paper documents and manual processes.

The main advantage of the Agora project is its ability to tokenize trade assets such as invoices and letters of credit, enabling banks and companies to trade these assets in a transparent and liquid market. This not only improves cash flow for businesses, but also reduces fraud – a persistent problem in trade finance – by providing an immutable record of transactions. The project has shown early promising results, with pilot transactions showing significant reductions in processing times.

The Canton Network is set to synchronize financial markets

Swiss financial services company SIX, along with partners such as Deutsche Börse and Goldman Sachs, is a leader in the Canton Network. This blockchain initiative seeks to create a unified infrastructure for financial markets, enabling seamless data exchange and synchronization of transactions across previously siled financial systems, while promoting innovation and efficiency in capital markets.

The Canton Network, built on the Digital Asset Modeling Language (DAML), focuses on solving a critical problem: the lack of interoperability between different blockchain systems. By providing a secure and scalable framework for workflow synchronization, the network aims to support applications ranging from securities issuance to asset servicing.

A notable feature of the Canton Network is its focus on privacy and compliance. Unlike public blockchains, which broadcast transactions to all participants, Canton uses advanced cryptographic techniques to ensure data is shared only with the relevant parties. This approach addresses a major concern for financial institutions: maintaining confidentiality while leveraging the efficiencies of blockchain.

Versana platform wants to transform syndicated loans

The syndicated loan market, valued at more than $4 trillion globally, is notorious for its inefficiency. Enter the Versana platform, a blockchain-powered solution backed by major players. Designed to modernize loan servicing, Versana provides a centralized platform where participants can access real-time data, reducing manual errors and delays. The solution is built on Canton Network Blockchain’s DAML.

“J.P. Morgan, Bank of America, City and Credit Suisse “They were the first investors.” Versana Founding CEO Cynthia Sachs PYMNTS said. “Now, we have increased that to nine investors, including major institutions such as Barclays, Morgan Stanley, Deutsche Bank, Wells Fargo and Bank of the United States“.

“Versana’s goal is not just to modernize the market. We want to continue to innovate and provide new solutions that help the market grow and expand. Everyone wins when the market has the best data and technology to use it,” Sachs added.