JPMorgan Goes Digital With JPM Coin

JPMorgan Chase has entered the world of blockchain and crypto by launching its own digital currency JPM Coin and establishing a blockchain-based digital currency branch Onyx, according to CNBC this morning. These developments will make large transactions, especially cross-border payments that are more likely to be rejected, more efficient by allowing for faster and more reliable verification of payment information and thus decreasing chances of rejection. The new services also have the potential to digitize check distribution, obviating paper checks and saving huge amounts of money on the labor that paper checks require.

The bank relies on the Interbank Information Network, a network that JPMorgan piloted in 2017 and that now consists of over 400 banks, to implement the changes. As the network incorporates its new functions, it will be renamed Liink. JPMorgan has already attracted a large technology company as a client for its new services, and the bank hopes that its coin, network, and new features will attract more companies, and even central banks, into adopting blockchain-based technologies.

By Isaac Goluboff

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