JP Morgan and Galaxy Launch $50M Tokenized Debt on Solana

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JP Morgan and Galaxy Digital Launch $50 Million Tokenized Debt on Solana

Written by Aaron S.,

Editor-In-Chief

Last Updated: December 12, 2025

Key Takeaways

JP Morgan and Galaxy Digital issued $50 million in tokenized commercial paper on Solana, a first for US on-chain debt securities;
The deal used USDC for issuance and redemption, with Coinbase and Franklin Templeton investing in the digital debt;
Executives praised the transaction as a milestone showing blockchain’s potential to modernize institutional capital markets.

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JP Morgan and Galaxy Digital Launch $50 Million Tokenized Debt on Solana

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On December 11, JP Morgan arranged a US commercial paper issuance on the Solana SOL $138.27 blockchain, carried out on behalf of Galaxy Digital Holdings LP.

The issuance, worth $50 million, marks Galaxy's first commercial paper offering. JP Morgan served as arranger, crafted the on‑chain US Commercial Paper (USCP) token, and handled "delivery‑versus‑payment" settlement for the primary issuance.

Both issuance and redemption proceeds were handled in USDC USDC $0.9999 stablecoins issued by Circle, a first for the USCP market.

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Coinbase $1.85B Global Inc. and Franklin Templeton were investors in the transaction, which acquired the tokenized short‑term debt instruments.

This issuance is among the earliest cases in the US where blockchain is used to issue and manage securities, which JP Morgan described as a "global milestone".

Galaxy's affiliate, Galaxy Digital Partners LLC, acted as the structuring agent, which solidified the firm's entry into on‑chain capital markets.

Multiple stakeholders commented on the deal. Scott Lucas, head of markets digital assets at JP Morgan, noted that the transaction helps clarify blockchain's role in future financial markets and highlights institutional demand for digital‑asset exposure.

Jason Urban, Galaxy's global head of trading, said the deal shows how public blockchains can improve capital markets by enabling open, programmable infrastructure for institutional products.

Recently, prediction platform Kalshi started allowing users to trade digital versions of its event contracts on the Solana blockchain. How does it work? Read the full story.