The Jamaica Stock Exchange (JSE) has entered into a non-binding agreement with Veritaseum Limited Liability Corporation to facilitate the exploration process for the use of blockchain technology.

The partnership was announced yesterday on the exchange’s website.

Blockchain technology is commonly known as the technology used to track mobile money transactions. But JSE reckons that the implementation of the technology could assist insurance companies and banks improve their bottom line and create greater wealth for the organisations.

In June the exchange organised a one-of-a-kind workshop, themed the Blockchain Masterclass, with American entrepreneur and founder of Veritaseum Reggie Middleton. The JSE is adamant that it does not want Jamaica to be left behind as the world opens its doors to new technology.

The masterclass assisted with developing a clear understanding of the origins of blockchain technology, the problems that blockchains solve, economic impact of blockchains on common markets, fields of finance, economics, value transfer, and how “distributed consensus” ledgers work.

Speaking at the opening ceremony of the 12th annual Investment and Capital Markets Conference earlier this year, JSE General Manager Marlene Street Forrest pointed to the need for development of services and products that will create transparency for the capitals markets.

“Our options are clear. We need mechanisms that will ensure market confidence, and to this end we must speak more loudly about the inclusion specifically of products such as a Diaspora bond for regional development, depository receipts, ETFs (exchange-traded funds), and other fixed-income products for the retail industry, and we must trumpet how our stock markets can be used to increase transparency, stability and longevity and wealth creation.”