The digital token ‘JPM Coin’ has successfully launched by JPMorgan, the largest bank in the US, which is a remarkable milestone in crypto industry history.
Blockchain-based JPM Coin has the ability to enable “instantaneous transfer of payments between institutional accounts”. The coin will shorten the transaction time which are currently taking longer than 24 hours by using SWIFT. Last month, JPMorgan claimed that blockchain technology would bring huge advantages to banks and payment systems, according to The Crypto Sight.
Since each JPM Coin is redeemable for a single U.S dollar, it shares the same concept with stablecoins. Umar Farooq, the firm’s head Digital Treasury Services and Blockchain specified that, “When one client sends money to another over the blockchain, JPM Coins are transferred and instantaneously redeemed for the equivalent amount of U.S. dollars, reducing the typical settlement time”.
As the Financial Times reported in March 2018, JPM Coin will be issued on the internal blockchain called Quorum with the vision to achieve greater industry adoption.