A new platform called JikoNet aims to establish a network enabling institutions to settle high-volume transactions in real time while minimizing counterparty and liquidity risks.
JikoNet leverages Jiko’s bank ledger for seamless USD transactions with instant T-bill trades and enables 24/7 real-time settlement for digital asset institutions.
The “one of a kind” network says it addresses a shortcoming in existing processes while safeguarding investments and cash. Every participant will have funds directly invested in T-Bills
a one-of-a-kind network that enables institutions to settle high-volume transactions in real-time while minimizing the counterparty and liquidity risks that have long burdened previous settlement network solutions. At a time when safeguarding investments and protecting short-term cash is vital, JikoNet builds on Jiko’s uniquely de-levered deposit model and modern technology stack to minimize counterparty risk by keeping every participant directly invested in US government T-bills, thus generating yield.
In a release, Stephane Lintner, Jiko Co-Founder, and CEO explained that client cash remains invested from the moment it arrives until it is transferred.
“Participants are not exposed to traditional balance-sheet risk, making us the stable network everyone can build on and rely on at scale. In our quest for safety, we removed as many intermediaries as possible, such as opaque fund structures and equity wrappers to provide our clients with direct and seamless access to U.S. government T-bills. This means that every node in our network is not only designed for maximal safety even at times of global financial stress, but also naturally yielding the risk-free rate.”
There is also a dedicated sub-network engineered exclusively for the institutional digital asset industry.
Jiko states that by reinventing the traditional deposit model offers a seamless solution that combines the transactional ease of a bank account with fully automated investments in US Treasury bills.