Wall Street Giant Shatters Tradition: JPMorgan Executes First Public Blockchain Treasury Trade

In a groundbreaking move, banking giant JPMorgan completed its first tokenized U.S. Treasury transaction on a public blockchain on May 14, 2025. This historic trade wasn’t just a test – it involved the actual movement of real money between accounts, marking a significant change from JPMorgan’s private blockchain systems to an open ecosystem.

The transaction was executed through Kinexys, JPMorgan’s blockchain division, in partnership with crypto companies Chainlink and Ondo Finance. It exchanged tokenized U.S. Treasuries Fund (OUSG) hosted on Ondo Chain testnet, with payment processed through Kinexys.

Before this landmark event, JPMorgan’s digital asset operations were primarily conducted on its private blockchain called Onyx, which has processed over $300 billion in tokenized repo trades. This new transaction represents the bank’s first venture into public blockchain territory.

JPMorgan ventures beyond private Onyx blockchain into public networks after handling $300 billion in tokenized trades internally.

Chainlink provided the critical technology needed for cross-chain communication. Its Runtime Environment coordinated the Delivery versus Payment settlement, while its Cross-Chain Interoperability Protocol (CCIP) facilitated secure cross-chain settlement between the systems.

Ondo Finance contributed the public blockchain infrastructure for the transaction. The trade occurred on Ondo Chain, a newly launched layer 1 blockchain designed for institutional-grade real-world asset issuance. The transaction addressed traditional cross-border inefficiencies that have plagued financial markets for decades.

The historic transaction took place during what’s described as a “crypto-friendly” period under President Donald Trump’s administration, which has implemented beneficial regulations for digital assets. This event marks the first atomic settlement involving both public and private blockchain structures. Unlike previous private efforts, this transaction was publicly visible and executed on a decentralized network.

JPMorgan’s move represents a significant evolution in banking, moving from private “walled gardens” to public networks. This wasn’t a rushed decision – conversations with Chainlink began two years ago, indicating a strategic long-term vision rather than a quick response to changing political trends.

The structure developed through this collaboration is being prepared for broader production use, potentially opening the door for more traditional financial institutions to embrace public blockchain technology for significant transactions.