JP Morgan Chase was preparing the ground for its own digital currency

Tokeneo

29 October 2020 16:10

3 min reading

Not so long ago, analysts from the largest bank in the United States bowed their heads to Bitcoin, claiming that the cryptocurrency plays a great role as a store of value, protecting against inflation. Moreover, they emphasized that its value is much greater because it can be used as a means of making payments. However, this sudden change in JP Morgan Chase's attitude towards BTC was not accidental ...

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The most important information:

The world's seventh largest bank reported that its digital currency, JPM Coin, is commercially used by a large tech company - its name has not been disclosed
This information was released some time after a report appeared on the market in which analysts from JP Morgan Chase praised ... Bitcoin
A few years ago, the attitude of this institution towards cryptocurrencies - and especially the oldest of them, was strongly negative. At a time when it was necessary to lay the foundations for the development of its own digital currency and a new project called Onyx, this institution decided to prepare the cryptocurrency environment a bit for a sharp change in its attitude.

JP Morgan Chase did not praise Bitcoin selflessly ...

The largest US bank recently surprised the community with a sudden change in attitude towards the oldest cryptocurrency. While in 2017 the CEO of this institution - Jamie Dimon claimed that Bitcoin is a fraud, some time ago analysts from JP Morgan Chase recognized BTC as one of the most effective hedges against inflation, which also has the potential to overtake even the most popular metal - gold.

It turns out that this action was not selfless. This bank was preparing the ground for the development of its own digital currency. Reports show that it has begun to be used commercially. A large technology client was involved in this action - but it was not revealed who exactly. However, it was noted that this company uses JPM Coin for 24/7 cross-border payments.

Blockchain technology is a window to business

In order to develop further towards blockchain, JP Morgan Chase decided to create a new project called Onyx, with over 100 jobs created with it. The managing director of this bank - Takis Georgakopoulos emphasized in an interview with CNBC that he believes that the transition to the period of commercialization of technology, as well as its research, may turn the new solutions created by this institution into a real business!

Onyx is to focus on blockchain and digital currency owned by JP Morgan Chase. Currently, the bank itself is focused on alleviating the problems in the world of wholesale payments, and more specifically in areas where the industry could save a lot - as Georgakopoulos emphasized, it could be up to hundreds of millions of dollars.