We are talking about the JPM Coin, the first cryptocurrency developed by a major US bank.
A digital token created by JP Morgan — one of US largest investment banks and financial services companies, headquartered in New York — to instantly settle transactions between clients of its wholesale payments business.
Its trials will start in a few months — and although only a small part of the bank’s payments will be carried out using the cryptocurrency in the beginning, it represents one of the first real-world applications of a digital currency in the banking industry.
Each JPM Coin will be redeemable for a single US dollar, much like stablecoins, so its value will not vary. The bank’s clients will receive the corresponding tokens after depositing dollars and may use them for a payment or purchase on the blockchain.
JP Morgan foresees three early applications for the JPM Coin: