JP Morgan Chase is going to finally launch JPM Coin. The cryptocurrency announced in February is expected to appear in the trial version this year.
The latest plans
According to recent reports, the well-known American bank is interested in working with clients from the United States, Europe and Japan to test the new cryptocurrency. Its introduction is to improve international transactions and increase JP Morgan Chase
We believe, that in the near future - in 5 to 20 years - the majority of securities will become digital or tokenized. Technology is a great thing, but it needs time for appropriate legal regulations and for explaining it to the public.
Says Umar Farooq, Head of Blockchain and Digital Services and in the bank.
These plans have been known since February
Plans to launch JPM Coin
have been known since February. It's supposed to be a stablecoin to avoid excessive fluctuations. In the beginning, its use was limited to the internal needs of the bank, so it cannot be used in external transactions.
The New York banking giant also invests in the blockchain
technology. A private decentralized network called the Quorum
has been developed for this purpose. These blockchains are based on Ethereum.
According to Farooq, the bank needs unambiguous legal permits to start pilot transactions using JPM Coin. A collaboration with Microsoft
was also established, to solve any technological difficulties possible that clients are struggling with.