JP Morgan Chase Bank Creates Own Cryptocurrency
J. P Morgan Chase has created its own crypocurrency called JPM Coin which runs on Bitcoin technology.
The coin will help in instant settlement of payments between the bank and its clients as it transfers more than $6 trillion around the world daily in its wholesale massive businesses.
Commenting on this development, Umar Farooq, head of J. P. Morgan’s blockchain projects said “the applications are frankly quite endless; anything where you have a distributed ledger which involves corporations or institutions can use this.”
“We are supportive of crypto-currencies as long as they are properly controlled and regulated,” he was quoted by BBC.
Nonetheless, JP Morgan’s chief executive Jamie Dimon has previously critiqued Bitcoin cryptocurrency but the bank maintains its “belief in the potential of blockchain technology”
Unlike other cyrptocurrencies, the JPM Coin ledger will be controlled by JPMorgan and each coin will be backed by a dollar, giving the coins a stable value and inhibit price vulnerability.