J.P. Morgan has completed a landmark blockchain-based debt issuance, announcing on Thursday that it issued a US commercial paper for Galaxy Digital Holdings on the Solana blockchain, signalling growing institutional adoption of digital assets.
The short-term, unsecured debt instrument was purchased by cryptocurrency exchange Coinbase Global and investment management firm Franklin Templeton. The transaction is valued at $50 million, according to a person familiar with the matter.
J.P. Morgan described the deal as a global milestone, noting that it is among the earliest transactions to use blockchain technology for both the issuance and servicing of securities. The move highlights the accelerating convergence between traditional finance and digital asset infrastructure.
Legacy financial institutions are increasingly exploring public blockchains such as Solana, which was founded in 2017 and launched its mainnet in 2020. The network has attracted interest due to its high transaction speeds and relatively low costs.
“The landmark transaction is an important step toward building the future of finance,” said Scott Lucas, Head of Markets Digital Assets at J.P. Morgan. “It demonstrates institutional adoption of digital assets and our ability to securely bring new instruments on-chain within a complex legal and regulatory environment via Solana.”
J.P. Morgan acted as the arranger for the transaction and created the on-chain USCP token representing the commercial paper. Both the issuance and redemption proceeds will be settled using USDC, a US dollar-backed stablecoin issued by Circle.
The bank has previously executed blockchain-based issuances on its private, permissioned platform, including a municipal securities offering for the City of Quincy in April 2024 and a US commercial paper issuance for Oversea-Chinese Banking Corporation in August 2025.
Lucas added that the bank plans to expand the structure further in the first half of next year, broadening the investor and issuer base and exploring additional security types.
Stablecoins such as USDC are cryptocurrencies designed to track the value of traditional currencies, most commonly the US dollar, and are increasingly used in institutional digital finance transactions.
