JPMorgan Moving Its In-House Crypto to Real-World Trials: Report

February 14, 2019
63 Views

While its CEO, Jamie Dimon, is notorious for his critical comments on bitcoin, investment bank JPMorgan is preparing for a future where blockchain is a key part of financial infrastructure with its own cryptocurrency.

Called JPM Coin, the token has been developed by engineers at the bank, according to a report from CNBC on Thursday, and is moving to real world trials in “a few months”

For the effort, JPM Coin will be used to settle a small portion of its transactions between clients of its wholesale payments business in real time, CNBC says. The bank moves over $6 trillion daily as part of that business, it adds.

Speaking to the news source, Umar Farooq, JPM’s blockchain lead, posited three main use cases for the bank token, including replacing wire transfers for international payments by large corporate clients and cutting settlement times from days to just moments.

It could also be used to provide instant settlement for securities issuances, as well as to replace U.S. dollars at held internatinally by subsidiaries of major corporations using JPM’s treasury services.

“Money sloshes back and forth all over the world in a large enterprise,” Farooq said. “Is there a way to ensure that a subsidiary can represent cash on the balance sheet without having to actually wire it to the unit? That way, they can consolidate their money and probably get better rates for it.”

Eventually, JPM coin could be used for mobile payments he added.

“Pretty much every big corporation is our client, and most of the major banks in the world are, too,” Farooq concluded. So, even just using the token among to JPM clients “shouldn’t hold us back.”

JPMorgan image via Shutterstock

https://www.coindesk.com/jpmorgan-moving-its-in-house-crypto-to-real-world-trials-report

You may be interested

Blockfi Launches High-Interest Crypto Lending Program in India
Bitcoin
13 views
Bitcoin
13 views

Blockfi Launches High-Interest Crypto Lending Program in India

btcethereumadmin - April 25, 2019

US-based Blockfi has expanded into India, offering a high rate on its interest-bearing account for two cryptocurrencies. News.Bitcoin.com talked to…

How to Use Bitcoin.com’s New Point-of-Sale Solution — Bitcoin Cash Merchant
Crypto News
8 views
Crypto News
8 views

How to Use Bitcoin.com’s New Point-of-Sale Solution — Bitcoin Cash Merchant

btcethereumadmin - April 25, 2019

During the third week of April, Bitcoin.com released a new point-of-sale (PoS) service called Bitcoin Cash Merchant for Android operating…

Binance Singapore Launches But Offers Just One Trading Pair, Report
Bitcoin
46 views
Bitcoin
46 views

Binance Singapore Launches But Offers Just One Trading Pair, Report

btcethereumadmin - April 25, 2019

Users of Binance’s new Singapore platform are reportedly only able to purchase bitcoin using Singapore dollars during the “soft launch.”…

Leave a Comment

Your email address will not be published.