The announcement made by JPMorgan Chase, the leading investment bank in the United States, regarding the launch of its blockchain and cryptocurrency has sparked heated discussion in the global crypto community. Some even say that JPM Coin, the name of the bank’s digital currency, could become a harbinger of death for Ripple and similar projects.
The opinions of blockchain experts and enthusiasts have polarized: some admonish that the entrance of such an influential player from the traditional financial world, which possesses virtually unlimited monetary resources, would disrupt the balance in the crypto world. Others argue that JPM Coin could be perceived as proof that the financial whales had finally recognized blockchain as a viable technology.
Interestingly, JPMorgan’s claim that they were the first American investment bank to develop and test a blockchain platform is not particularly accurate. There was another U.S. bank that had beaten them to the spot. On January 1, 2019, the Signature Bank, a mid-sized banking institution located in New York, announced that they would be carrying out all transaction of their business clients on the bank’s own blockchain platform called the Signet. The New York bank has already received approval from the New York State Department of Financial Services to execute peer-to-peer transactions between its commercial customers.
Both JPMorgan’s and Signature platforms have been developed on the basis of the Ethereum blockchain. The Quorum network, owned by JPM Chase, is a private permissioned blockchain which is primarily focused on data privacy. Signet is a proprietary blockchain developed jointly with trueDigital. The only significant difference between these two platforms, as Scott Shay, a chairman of Signature, has put it:
“We are actually out there doing this.”
That should come as a thorn in the side of the bank with unlimited financial capabilities since JPMorgan’s Umar Farooq assures that their blockchain is still a prototype in its testing phase.
According to the official explanation, published on bank’s website on February 14, JPM Coin is a digital currency that is pegged to the U.S. dollar’s official rate. This means that JPM Coin qualifies as a stable coin. The bank characterizes its digital token not as a monetary unit but rather as a mean for carrying out instantaneous domestic and international payments via blockchain. However, the universal implementation of JPM Coin is still theoretical. So far, the bank has conducted only one trial transaction to one of its institutional customers. The bank also emphasized that in the foreseeable future they intend to limit the scope of operations involving the blockchain only to be used for transactions between banks, brokers, and corporate customers.
Ironically, Jamie Dimon, the chairman and CEO of JPMorgan Chase, had been openly lambasting Bitcoin, calling it “worse than the tulip bulbs” (referring to the Tulip and Bulbs Craze of 1630s - author’s note) and threatening to “fire in a second any trader who was trading Bitcoin.”
Apparently, the attitude towards blockchain has changed dramatically at JPMorgan because now they claim that they have always rendered support to cryptocurrencies as long as they were “properly controlled and regulated.”
It remains to be seen whether JPM Coin could pose a severe threat to its potential rival, namely Ripple, which pioneered the development of blockchain-based remittance network.
|#||Crypto||Prediction||Accuracy||CVIX||Price||24h||7d||Market Cap||7d price change|
|1||BTC||Bitcoin predictions||72.4%||48||$49 930.71||-0.82%||-12.44%||$943 470 946 757|
|2||ETH||Ethereum predictions||80%||39||$4 398.34||2.40%||-4.02%||$521 916 919 372|
|3||BNB||Binance Coin predictions||78.8%||35||$604.70||5.45%||-2.89%||$100 865 065 822|
|4||USDT||Tether predictions||93.6%||1||$0.999730||0%||-0.14%||$76 305 698 656|
|5||SOL||Solana predictions||70.4%||61||$191.21||1.34%||-15.62%||$58 767 135 668|
|6||ADA||Cardano predictions||60.8%||77||$1.37||0.31%||-11.42%||$45 843 582 011|
|7||USDC||USD Coin predictions||92.8%||2||$0.999084||0.05%||-0.12%||$41 003 048 789|
|8||XRP||XRP predictions||68%||65||$0.853317||5.14%||-12.95%||$40 316 898 132|
|9||DOT||Polkadot predictions||64%||70||$29.04||-1.01%||-20.13%||$28 675 211 460|
|10||LUNA||Terra predictions||63.6%||75||$74.31||8.29%||16.04%||$28 302 225 841|
|11||DOGE||Dogecoin predictions||69.6%||65||$0.177706||0.12%||-14.26%||$23 535 429 066|
|12||AVAX||Avalanche predictions||65.6%||77||$91.59||3.37%||-22.82%||$22 238 588 785|
|13||SHIB||SHIBA INU predictions||60%||79||$0.000037||0.47%||-14.04%||$20 134 542 687|
|14||MATIC||Polygon predictions||66.8%||70||$2.33||1.51%||10.74%||$16 487 352 139|
|15||CRO||Crypto.com Chain predictions||60%||78||$0.609756||-1.35%||-15.04%||$15 404 283 513|
Get cryptocurrency price predictions, forecasts with analysis and news right to your inbox.
© 2015-2021 Crypto-Rating.com
The usage of this website constitutes acceptance of the following legal information. Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website, including information about the cryptocurrencies and bitcoin is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Crypto Rating shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about cryptocurrencies. The entire responsibility for the contents rests with the authors. Reprint of the materials is available only with the permission of the editorial staff.