• Tue, 26 Mar 2019, 07:58 AM
  • All times are UTC
  • Edition:
    International
Link copied

JP Morgan to trial own cryptocurrency ‘JPM Coin’ for instant client payments: Report

Photo: MIKE SEGAR / REUTERS

Thu, 14 Feb 2019, 12:18 pm UTC

Banking giant J.P. Morgan is reportedly launching its own cryptocurrency in a bid to transform the payments business.

According to a report from CNBC, the bank has developed “JPM Coin” to facilitate instant settlement of payments between clients of its wholesale payments business. The trials are set to begin in a few months and will initially involve only a small fraction of payments.

The project marks the first cryptocurrency developed by a major U.S.-based bank. Similar to stablecoins (fiat pegged digital tokens), each JPM Coin would be redeemable for a U.S. dollar.

Once clients deposit dollars at the bank, they will be issued JPM Coins. After they use the coins for making a payment or security purchase on the blockchain, the bank will destroy the coins and give clients a proportionate amount in dollars.

Umar Farooq, head of J.P. Morgan's blockchain projects, has identified three early applications for the JPM Coin – international payments for large corporate clients, securities transactions, and large corporations who use the bank’s treasury services to replace their dollar holdings in subsidiaries around the world.

"So anything that currently exists in the world, as that moves onto the blockchain, this would be the payment leg for that transaction," he said. "The applications are frankly quite endless; anything where you have a distributed ledger which involves corporations or institutions can use this."

The bank also hopes that the first-mover status, along with its large market share in corporate payments, will result in good adoption of this new coin.

"Pretty much every big corporation is our client, and most of the major banks in the world are, too," Farooq said. "Even if this was limited to JPM clients at the institutional level, it shouldn't hold us back."

<Copyright © TokenPost. All Rights Reserved. >

The commenting service is available only after having logged in.
More
  • Bitcoin (BTC) $3,951.56 (-1.96%)
  • Ethereum (ETH) $134.62 (-1.99%)
  • XRP (XRP) $0.302000 (-2.11%)
  • Litecoin (LTC) $58.91 (-2.20%)
  • EOS (EOS) $3.65 (-0.58%)
  • Bitcoin (BTC) $3,951.56 (-1.96%)
Mar 26, 2019 (Tuesday)
07:07
CoolBitX’s crypto hardware wallet adds support for Gemini Dollar
06:18
Bitcoin nonprofit BitGive teams up with US-Based NGO to provide aid to Venezuela
05:13
OKEx to launch its own blockchain and decentralized exchange
04:40
Blockchain insurance startup B3i secures $16M in latest funding
03:36
eToro acquires smart contract startup Firmo
Mar 25, 2019 (Monday)
04:22
UniCredit completes transaction via we.trade blockchain platform
03:47
Crypto exchange Seed CX ventures into Asian markets via Hydra X partnership
Mar 22, 2019 (Friday)
10:46
SBI Group partners with U.S.-based semiconductor firm to manufacture crypto mining hardware
10:03
Square seeks engineers for new crypto-related initiatives
09:02
Cardano Foundation joins European Commission’s blockchain initiative INATBA as founding member
07:09
Blockchain smartphone maker Sirin Labs partners with MyEtherWallet
06:21
Alibaba, Aerospace Information partner to foster blockchain development
05:30
UPS partners with blockchain startup Inxeption for B2B e-commerce platform
04:36
Financial market veteran Rob Catalanello to lead crypto liquidity provider B2C2’s US expansions
03:44
Numerai secures $11M from Paradigm and Placeholder via token sale
Mar 21, 2019 (Thursday)
11:49
Former Prime Minister of Denmark joins blockchain firm Concordium as strategic advisor
11:00
North Korean dissident group CCD to issue blockchain-based post-liberation visas
10:03
Switzerland inches closer to cryptocurrency regulation
09:07
Huobi Global to launch token sale platform “Huobi Prime”
07:21
Asia Pacific Leaders Malaria Alliance’s M2030 partners with Dragonchain for blockchain-based services
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.
PUBLISHsoft