JPMorgan Chase successfully carried out its first transaction settled on a public blockchain. In cooperation with real-world asset tokenization platform Ondo Finance and cryptocurrency infrastructure provider Chainlink, the transaction involving tokenized U.S. Treasury securities took place on May 14, 2025.
The milestone is significant since it signals a departure from JPMorgan’s previous blockchain strategy, which catered only to its institutional clients on private, permissioned networks.
JPMorgan’s Kinexys Completed the Historic Purchase on Ondo
Early in May, JPMorgan’s specialized blockchain company, Kinexys, completed the transaction. It required moving funds between two accounts on the bank’s private blockchain. This completed the purchase of tokenized treasuries on Ondo Finance’s public blockchain.
Chainlink’s Cross-Chain Interoperability Protocol (CCIP) was the essential communication layer. It allowed communication between the public blockchain and JPMorgan’s private system.
The transaction was noteworthy because it adopted a delivery-versus-payment (DvP) paradigm across multiple blockchain networks. This challenging task ensures the simultaneous transfer of assets and payments while reducing counterparty risk. This is the first time a tokenized asset has been cross-chain and atomically settled on the Ondo Chain testnet.
Changing Crypto Regulatory Environment
The transaction’s timing coincides with a broader change in the regulatory environment in the United States and a rise in cryptocurrency activity among conventional financial institutions. For example, Morgan Stanley is investigating cryptocurrency trading through E*Trade, BlackRock is expanding its tokenized treasury services, and Fidelity is piloting a stablecoin.
Although the changing political landscape has created a more favorable environment for crypto adoption—with the Trump administration introducing industry-friendly measures following the Biden era’s stricter approach—JPMorgan maintains that this project has been in development for years. According to Fortune, discussions between Kinexys and Chainlink began over two years ago as part of the bank’s long-term strategy.
The successful test transaction indicates the rapid maturation of the infrastructure for institutional-grade blockchain transactions, potentially paving the way for a new era of financial innovation that integrates traditional banking with decentralized finance.
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