JPM Coin, the digital token launched by JPMorgan Chase & Co JPM, is forecasted to handle up to $10 billion in daily transactions within the upcoming one to two years, marking a significant growth from the current $1 billion daily transactions.
What Happened Since its launch in 2019, JPM Coin has processed transactions of $300 billion using blockchain technology which is available to process 24/7 unlike traditional banking transactions available during business hours only. Initially supporting only USD payments, the service expanded in June 2023 to include Euro transactions as well.
The bank’s Global Head of Financial Institutions Payments, Umar Farooq in a Bloomberg Television interview said, “We believe it’s going to start taking off.”
Read Next: JP Morgan Advances AI Banking Projects Under Regulatory Guidance
Why It Matters: JPM Coin is now utilized across various applications, with the Onyx blockchain-powered payment system recently introducing a programmable payment function for the digital token. This enhancement allows customers to automate transactions and configure the system to manage financial responsibilities, including overdue payments and margin calls.
Onyx, global head of coin systems, Naveen Mallela announced that Germany-based Siemens used the JPM Coin system to set up its account for transfers, addressing potential funding gaps, as reported by Bloomberg
The programmability feature is a significant milestone for digital currencies and tokenized money as it assists in achieving real-time, automated, and programmable treasury operations.
Also Read: JPMorgan CEO Jamie Dimon Says Inflation 'Might Not Go Away That Quickly'
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