New MoU Signed Between JSE and Blockstation to Start Offering Cryptocurrency in Jamaica
The Jamaican Stock Exchange wants to broaden the range of investment options for the locals, so they have announced their intentions to make cryptocurrency a tradeable asset within 20187. This annoucement comes after they partnered with Blockstation, a blockchain startup, with which they have signed a memorandum of understanding (MoU). Their goal together is to establish a trading platform in the area, opening the citizens the opportunity to get involved with the digital marketplace.
The JSE managing director, Marlene Street Forest, believes that the use of cryptocurrency in their country helps with their variety of investment options. They already offer the opportunity to establish bonds, equities, and similar products, but the inclusion of cryptocurrency would expand their reach across the globe.
In a statement to Coin Desk, Forrest said,
“The end game at the end of the day is to trade tokens, the end game is smart contacts, the end game is to provide that area of the market that would like this product, to start to do so in a secure manner.” In this agreement, JSE’s infrastructure will remain intact, which is likely due to their already-successful network and the ability to connect with existing users. Blockstation is simply coming in to offer the technology that the existing exchange needs for the cryptocurrency setup.
Along with the adaption of the exchange to offer cryptocurrency, Forest wants to keep investigating the additional benefits that blockchain technology offers. While the current plan only involves a connection to existing tokens in the crypto industry, there has been a few rumors that JSE may end up creating its own token over time, but the exchange will most likely want to see some success with other investments before they are forward enough to establish their own. According to Forest, “The environment changes, the entire ecosystem changes, so at that point in time that might be the case, [although] at this point in time that is not a discussion.”
Jai Waterman, who is the founder and the chief enterprise architect of Blockstation, revealed that this collaboration has been about six months in the making. Much of their work has been in effort to customize their technology to work within the exchange, due to tool requests to track market manipulation and to help with other regulatory measures. Waterman said,
“Our mission is to provide … a secure method of trading cryptocurrencies with broker-dealers and stock exchanges,” he said. “We’re providing the stock exchange the technology for a broker-dealer network and repository, so that from end-to-end, their life cycle of trading – just like with securities – they can do the exact same thing with blockchain and cryptocurrencies.”
Presently, there does not appear to be a launch date for this upcoming platform and eventual token. Based on the information available, it seems that the platform will still be active by the end of the year, with no estimate of the launch of a token. Still, the company is taking its time to create a platform that is secure and helpful to investors, protecting them and their funds.
Forest explained the “gradual” timeframe a little more clearly, saying,
“We have a steering committee that was designed and formulated to look at the Blockstation product, to look at the blockchain technology in general and to go through the phases to ensure that we understand what we are getting involved with and are also trained in what this entire trading of cryptocurrency involves.”