Solana’s institutional momentum took another major leap this week as JPMorgan executed a short-term bond issuance directly on the Solana blockchain. The move signals a deepening shift among global institutions toward on-chain financial infrastructure, with Solana increasingly positioned at the center of that transition.
JPMorgan’s On-Chain Bond Marks a New Era for Institutional Finance
US banking giant JPMorgan has announced, in a recent press release, that it has arranged a short-term bond instrument on the Solana network, leveraging the network’s low fees. Galaxy Digital structured the new instrument, USCP, while Franklin Templeton and Coinbase subsequently purchased it.
Interestingly, this is the first time an institution has issued and serviced a debt security in the US through a public chain. Furthermore, while JPMorgan has experimented with blockchain for years through its Onyx platform, which rebranded as Kinexys in 2024, this marks one of its most high-profile uses of a public network for real-world asset issuance. It’s worth noting that JPMorgan will carry out both redemptions and issuances using the USDC stablecoin.
Meanwhile, the issuance coincides with the ongoing Solana Breakpoint conference, held in Abu Dhabi, which will connect developers and creators from around the world to discuss new trends, tools, and the latest innovations in the web3 ecosystem.
Institutions Are Quietly Becoming the Biggest Users of Solana
Beyond JPMorgan, Solana has attracted increased institutional activity building under the surface. From asset managers tokenizing treasuries to global payments firms piloting on-chain settlement, institutions are increasingly driving Solana’s economic throughput.
According to SoSoValue data, Solana ETFs now have $949.18 million in AUM and have recorded net inflows of over $600 million as of December 10, 2025. Thus, this indicates that Solana has transitioned from a retail-driven, developer-centric ecosystem to a broader financial backbone capable of supporting global-scale capital markets.
Why Solana Is Emerging as a Preferred Institutional Chain
Solana’s rising institutional adoption is tied to several factors: high throughput, predictable low costs, and the ability to support tokenized assets without complex scaling layers. Interestingly, when commenting on the newly issued USPC token, Nick Ducoff, Head of Institutional Growth at Solana Foundation, stated that Solana’s unified architecture made it a top choice for JPMorgan.
On the other hand, Brett Tejpaul, Co-CEO of Coinbase, also added that the latest issuance is a significant milestone and a clear demonstration of how more financial institutions are embracing blockchain technology.
Meanwhile, Polymarket’s rival, Kalshi, has recently launched a tokenized prediction market on the Solana network, capitalizing on its speed and scalability. Kalshi also chose Solana due to its lower fees and high transaction capacity.
Temitope Olajide
