JPMorgan Chase CEO: Hello Bitcoin, Silicon Valley is here!

     According to Wired magazine, JPMorgan Chase CEO Jamie Dimon described the trend in one simple sentence: "Silicon Valley is coming."

     In his annual shareholder letter this spring, Dimon warned Wall Street’s old guard that they were surrounded by “hundreds of talented and well-funded startups” that were working to offer “leak-proof and competitive” alternatives to traditional banking . JPMorgan, he said, would work to modernize its services and, if necessary, partner with similar Silicon Valley startups that were trying to disrupt the way banks have long done business.

     It turns out that Dimon's warnings have not fallen on deaf ears. In the past few months, Wall Street has accepted a new round of Silicon Valley fintech "newborns" at a remarkable speed. A recent example is that Chain, a leading provider of blockchain technology solutions for financial institutions, announced that it has received $ 30 million in equity investment from financial institutions such as Nasdaq , Citi Ventures, Capital One Financial and Visa .

     It is understood that the blockchain is a new model for transferring financial assets (including stocks, bonds and futures ), which can replace third-party intermediaries through a password-protected secure network. The blockchain enables asset holders in the market to achieve instant peer-to-peer transactions at a lower cost, which can bring greater efficiency and security. Although it was only established a year ago, Chain has established partnerships with many large companies such as First Data and Nasdaq.

     Previously, Nasdaq CIO Brad Peterson confirmed that Chain is working closely with Nasdaq to improve the efficiency of the capital markets. He said, "We see that this platform is helping us speed up the time to market for different blockchain initiatives. We are pleased to deepen our partnership through this investment."

     Chain CEO Adam Ludwin noted that other investors are using the company’s technology to build their own blockchain systems.

     Ludwin said, "All of our investors are either partners who have signed business agreements with us or serious potential business partners who have already started discussions about cooperation. Six major financial institutions bought into high-risk and early-stage emerging companies at the same time. This shows that in the investment process, they not only want to get a return on investment, but also want to create their own return on investment."

     In addition, the New York Stock Exchange has invested in Coinbase, a San Francisco-based bitcoin trading platform. In addition to the New York Stock Exchange, several venture capital firms have invested in Coinbase, including many world-renowned investors such as Draper Fisher Jurvetson, BBVA, and USAA. Goldman Sachs has invested in Bitcoin startup Circle Internet Financial. It is reported that Circle's co-founder plans to use Bitcoin to enter the vibrant P2P payment market. Digital Asset Holdings, a distributed ledger startup led by former JPMorgan Chase executive Blythe Masters, acquired two blockchain companies, Hyperledger and Bits of Proof. The company is currently developing a "confidentiality measures" system similar to the one jointly developed by Nasdaq and Chain.

Nasdaq reportedly plans to integrate blockchain technology into its equity trading platform for companies that have not yet had an initial public offering ( IPO ), the NASDAQ Private Market, a plan announced in May.  

     With assistance from Chain, the stock exchange will use blockchain technology to issue and transfer shares of private companies.

     Nasdaq believes that the partnership with Chain will simplify the way private companies store records.

     It is also reported that supporters of blockchain technology say that the technology will develop rapidly, making it easier to trade stocks, bonds and even derivatives. In a recent Greenwich Associates survey, Wall Street professionals also generally support the use of blockchain, with 94% of respondents believing that the technology can be used in the financial field.