Partior, a Distributed Ledger Technology (DLT)-based payment network backed by JP Morgan, has made headlines with the first closing of its $60 million Series B funding round. 

Led by Peak XV Partners (formerly Sequoia Capital India & SEA), the round also saw participation from Valor Capital Group and Jump Trading Group. 

"Partior is breaking down silos and rewriting the rules for cross-border clearing and settlement. We see a bright future for blockchain-based, frictionless cross-border transactions,” said Humphrey Valenbreder, Partior’s CEO. “Having some of the world’s best banks and investors back our vision validates this further."

 

The fresh capital will advance Partior’s capabilities, including intraday FX swaps, cross-currency repos, programmable enterprise liquidity management, and multi-bank payments, according to a recent statement. 

Founding and Purpose

Partior was founded by JP Morgan, DBS Bank, and Temasek, with Standard Chartered joining later. It emerged from Singapore’s Project Ubin, a collaborative project exploring the use of blockchain and distributed ledger technology (DLT) for clearing and settling payments and securities. 

Partior’s primary goal is to enable instant cross-border payments 24/7, using tokenization to enhance speed and efficiency.

Addressing Cross-Border Payment Challenges

Cross-border payments are often slow, expensive, and lack transparency. Traditional payment systems involve multiple intermediaries, leading to high costs and delays. 

Partior offers a unified ledger market infrastructure that integrates tokenized deposits, assets, and central bank funds on a programmable ledger, according to the Partior statement. As per a report, this approach eliminates the need for fragmented messaging and reconciliation, streamlining the settlement process for various financial instruments, including:

• Wholesale Central Bank Digital Currencies (wCBDCs)

• Securities

• Repos

• Derivatives

Partior’s network currently supports US dollars, Singapore dollars, and Euros, with plans to integrate other major currencies, including Brazil’s Real and several Gulf currencies. 

The platform allows clients, including banks, to conduct real-time cross-border payments, offering better control over liquidity. Companies like Siemens and iFast Financial are already using Standard Chartered for euro transactions on Partior’s network..

Key Features of Partior’s Unified Ledger

• Atomic Settlement: Enables simultaneous settlements, eliminating settlement risks.

• 24x7 Always On: Provides continuous access for clearing and settlements.

• Interoperable: Integrates with various asset and currency networks, both digital and traditional.

• Programmable: Allows for rule-based execution and a high degree of automation.

• Composable: Supports complex transactions based on programmable rules, reducing intermediary roles and fostering innovation.

According to the recent announcement, Partior is developing the following solutions:

• Intraday FX Swaps: A recent proof of concept involved two founding banks and Japan’s Mizuho, demonstrating the potential for intraday foreign exchange swaps.

• Programmable Enterprise Liquidity Management: This system will allow corporates to manage their liquidity in real time across multiple banks