An international investment bank – always skeptical of Bitcoin – JPMorgan Chase will be the first American bank to introduce its own cryptocurrency.
Plenty of possibilities to use cryptocurrency
Umar Farooq, head of JPMorgan’s blockchain activities, said that CNBC attempts at JPM Coin will begin in the coming months. It has been used three times already, despite the fact that the currency has just entered the testing phase.
The possibilities of its use are virtually infinite. Everywhere, where decentralized accounting technology is available, also corporations or institutions, you will be able to use it without problems.
After adopting a generally hostile view of cryptocurrencies in recent years, JPMorgan is likely to deeply shake up the financial sector.
The president of the company, Jamie Dimon, called Bitcoin in 2017 „a fraud”. He managed to trigger a sharp change in the price of this cryptocurrency.
Since then, Dimon has ceased all, and then he promised himself that he would never mention Bitcoin again. In the meantime, the idea of a self-critic began to be more and more liked by the management of the company. According to rumors, JPMorgan would even like to launch Bitcoin related systems.
In May, the bank filed a patent for the P2P blockbinding payment system. Settlements between large corporate clients would create a large market for JPM Coin.
JPM Coin will also witness the execution of transactions on securities and JPMorgan services in the area of fiscal services.
Only the „small” part of the transactions involved in these areas will be using the cryptocurrency from the beginning. JPM Coins act as a dollar replacement 1: 1, just like stablecoin.
Even if it was limited to JPM clients at the institutional level, it should not stop us, „said Farooq.
Last year, the co-chairman of the bank, Daniel Pinto, admitted that the cryptocurrency „will play an important role” in the future of the global economy.