JPMorgan Settles Transactions for $1 Billion Daily Using JPM Coin – JPMorgan has made an announcement indicating that its in-house cryptocurrency, jpm coin, is facilitating daily transactions worth $1 billion. The Global Head of Payments at JPMorgan, Takis Georgakopoulos, has stated the intention to broaden the usage of jpm coin beyond predominantly U.S. dollar transactions in the future.
In a recent interview with Bloomberg, Georgakopoulos stated: “JPM Coin gets transacted on a daily basis mostly in US dollars, but we again intend to continue to expand that.” Jpm coin enables transactions in both dollars and, more recently, euros by leveraging the Qorum blockchain, a distributed ledger initially developed by JPMorgan in 2016 and subsequently acquired by the Ethereum software company Consensys in 2020.
Unveiled in 2019 by JPMorgan and gradually gaining commercial traction in 2020, jpm coin stands out as one of the relatively rare blockchain applications embraced by banks, even though its transaction volume, as reported by Bloomberg, remains modest when compared to the massive $10 trillion transacted through JPMorgan’s conventional banking services. Georgakopoulos suggested the potential use of deposit tokens for retail applications.
These tokens, viewed by JPMorgan as an advancement in stablecoin technology, essentially represent a claim on a deposit held at a regulated financial institution, similar to a traditional bank. Georgakopoulos detailed: “The next step in that journey is to think about how you can create a more retail version of that, so that you can bring that same efficiency to consumers.”
JPMorgan announced its interest in deposit tokens in February, seeing promise in this tech and profiling it as another implementation for programmable money, explaining that such tokens “can become a strong foundation for digital money and an important part of a broader tokenized asset ecosystem.” In a more recent development, during September, insiders revealed that the bank was working on a platform harnessing deposit token technology.
With the aim of providing swift settlement and payment solutions to its institutional clientele. Nevertheless, JPMorgan is committed to making these services available only after a thorough review and approval by U.S. regulatory authorities, with the anticipated launch slated for approximately one year following regulatory endorsement.