JP Morgan-Backed Partior Raises $60 Million In Series B Funding

Partior, the payment network using DLT, has recently shared that it has concluded the first part of its $60 million Series B funding round. This was led by Peak XV Partners (formerly Sequoia Capital India & SEA) and included Jump Trading Group and Valor Capital Group.

According to Pitchbook, the company previously received $31 million. This news comes two months after it named Humphrey Valenbreder as the new Chief Executive Officer.

Partior Seeks To Enhance Efficiency And Transparency In Financial Transactions

Partior was established by Temasek, DBS Bank, and JP Morgan, with Standard Chartered joining later. Its initial solution is an international settlement network utilizing tokenization, which emerged from Singapore’s Project Ubin CBDC initiative. The three founding settlement banks allow customers, including other banks, to transmit instant cross-border payments 24/7.

Currently, it supports Euros, Singapore dollars, and US dollars, with plans to include numerous other currencies. In addition to the major currencies, it will also include Brazil’s Real and several Gulf currencies. Moreover, clients such as iFast Financial and Siemens are employing Standard Chartered for euro transactions to gain better control over liquidity.

Partior’s next idea involves using intraday currency swaps. The firm recently showed this with a test that included two founding banks and Japan’s Mizuho. Also, Partior is developing a system called Programmable Enterprise Liquidity Management.

This system would let big companies manage their money in real time across many banks. It’s especially interesting for big companies’ financial managers. The big issue is whether banks can work together instead of competing to make this idea work effectively.

Partior Wants To Modernize And Streamline International Payment

The current system for settling payments across borders uses Distributed Ledger Technology (DLT) to make them more efficient. Currently, most payments rely on messages, where instructions and money movement are separate. This causes problems like unclear tracking and delays in transactions.

Settlement banks such as Standard Chartered, DBS, and JP Morgan operate 24/7 to process transactions, enabling immediate payments within their operational jurisdictions.

Dan Schulman, Managing Partner at Valor Capital Group and former Chief Executive Officer of PayPal, emphasized the importance of updating the system.

He explained that after focusing much of his career on solving major global payment challenges, he’s seen firsthand how important it is to update the systems for international settlements and payments.

He added that the platform’s ability to simplify international payments and currency exchange settlement sets new standards for instant clearing and settlement. It also matches the company’s goal of pushing innovation boundaries in financial services using blockchain technology.