JP Morgan has successfully arranged the first-ever bond issuance on a public blockchain, executing a US commercial paper offering for Galaxy Digital Holdings LP on the Solana Network.
The deal, announced on December 11th, was purchased by Coinbase and Franklin Templeton, with all payments made in Circle’s USDC stablecoin. This is a first for the commercial paper market.
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Wall Street is no longer experimental
The deal marks a major departure from JPMorgan’s previous blockchain strategy, which relied primarily on the private Onyx network and JPM Coin. By selecting Solana’s public infrastructure, the Wall Street giant effectively validated the network’s ability to process institutional-grade financial products.
“This issuance is a clear example of how public blockchain can improve the way capital markets operate,” said Jason Urban, Head of Global Trading at Galaxy. Sandy Kaul, head of innovation at Franklin Templeton, added that institutions are no longer just experimenting with blockchain, they’re “doing it in a big way.”
JP Morgan served as the arranger and created the on-chain USCP token and facilitated delivery-versus-payment (DVP) payments. The DVP model eliminates counterparty risk by ensuring that assets and payments are exchanged at the same time. This is an important feature for institutional implementation. Galaxy Digital Partners LLC served as the structuring agent in Galaxy’s first-ever commercial paper issuance.
Coinbase acted as both investor and infrastructure provider, providing private key storage, wallet services, and USDC on- and off-ramp functionality. Collaborations between traditional financial companies and crypto-native companies show that the ecosystem is maturing and ready for mainstream adoption.
Why choose Solana and USDC?
The choice of Solana reflects its technical advantages such as speed, scalability, and low transaction costs. This network can process thousands of transactions per second, making it ideal for organizations that require efficiency and reliability. While Ethereum still stands out in the tokenization space, Solana’s cost efficiency makes it suitable for high-frequency, cost-sensitive financial applications.
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Circle’s USDC stablecoin played an important role as well. According to Circle’s official report, USDC enables the transfer of more than $850 billion in value worldwide and supports real-time payments for compliant financial operations. The use of traditional debt instruments as settlement currencies represents a breakthrough for the utility of stablecoins.
Strong financials back up the deal
This transaction strengthens Galaxy’s short-term financing capabilities amidst strong financial performance. The company reported a record quarter of adjusted EBITDA of $629 million in Q3 2025. As of June 30, 2025, Galaxy has $2.6 billion in equity and $1.2 billion in cash and stablecoins, making it well-positioned to expand its blockchain-based funding channels.
JP Morgan’s involvement adds significant credibility. JPMorgan has $40.1 trillion in assets under custody, $1.11 trillion in deposits, and operates in more than 100 countries. Support for public blockchain infrastructure by banks carries considerable weight to institutional observers.
SOL is unfazed by historical news
Despite the groundbreaking nature of this transaction, Solana’s native token, SOL, has seen limited price reaction. As of Dec. 12, SOL is trading at around $136, down 2.25% over the past week. The token briefly soared above $145 between December 9th and 10th before retreating to current levels.
This subdued response may reflect the positive nature of the market, with institutional adoption long anticipated. Expanding market conditions and profit-taking following recent gains may also be overshadowing the positive news.
