JPMorgan Considers Digital Deposit Token For Faster Cross-Border Payments: Report
Key Points:
- JPMorgan is exploring a blockchain-based digital deposit token for cross-border payments and settlements.
- The deposit token would function differently from JPM Coin and could be used to easily send money to clients of another bank.
According to Bloomberg, JPMorgan is exploring a blockchain-based digital deposit token for cross-border payments and settlements. It could become available in other fiat currencies if approved by relevant regulators.
JPMorgan Chase & Co. is reportedly exploring the use of a blockchain-based digital deposit token for cross-border payments and settlements. The deposit token would be transferable digital coins that represent a deposit claim against a commercial bank.
According to JPMorgan, the deposit token would likely first be denominated in US dollars, but it could later become available in other fiat currencies if approved by relevant regulators.
The bank has already piloted issuing deposit tokens in a single transaction last year as part of the Monetary Authority of Singapore’s Project Guardian. The bank highlighted the potential of this form of money in a recent study, stating that deposit tokens would become a widely used form of money within the digital asset ecosystem.
The deposit token would function differently from JPM Coin, which allows some JPMorgan corporate clients to move dollars and euros from their various accounts within the financial institution. The bank said that it had used JPM Coin to process about $300 billion of transactions since its launch. By comparison, JPMorgan moves $10 trillion in US dollar transactions overall on a daily basis.
If approved, JPMorgan may launch the deposit token for use by corporate clients less than a year after receiving the go-ahead. The move would be an expansion of JPMorgan’s blockchain efforts, which have been at the forefront of Wall Street’s attempt to use crypto’s underlying technology to simplify some of the cumbersome processes in banking.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
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JPMorgan Considers Digital Deposit Token For Faster Cross-Border Payments: Report
Key Points:
- JPMorgan is exploring a blockchain-based digital deposit token for cross-border payments and settlements.
- The deposit token would function differently from JPM Coin and could be used to easily send money to clients of another bank.
According to Bloomberg, JPMorgan is exploring a blockchain-based digital deposit token for cross-border payments and settlements. It could become available in other fiat currencies if approved by relevant regulators.
JPMorgan Chase & Co. is reportedly exploring the use of a blockchain-based digital deposit token for cross-border payments and settlements. The deposit token would be transferable digital coins that represent a deposit claim against a commercial bank.
According to JPMorgan, the deposit token would likely first be denominated in US dollars, but it could later become available in other fiat currencies if approved by relevant regulators.
The bank has already piloted issuing deposit tokens in a single transaction last year as part of the Monetary Authority of Singapore’s Project Guardian. The bank highlighted the potential of this form of money in a recent study, stating that deposit tokens would become a widely used form of money within the digital asset ecosystem.
The deposit token would function differently from JPM Coin, which allows some JPMorgan corporate clients to move dollars and euros from their various accounts within the financial institution. The bank said that it had used JPM Coin to process about $300 billion of transactions since its launch. By comparison, JPMorgan moves $10 trillion in US dollar transactions overall on a daily basis.
If approved, JPMorgan may launch the deposit token for use by corporate clients less than a year after receiving the go-ahead. The move would be an expansion of JPMorgan’s blockchain efforts, which have been at the forefront of Wall Street’s attempt to use crypto’s underlying technology to simplify some of the cumbersome processes in banking.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
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