Overview
- JPMorgan launched its dollar-denominated deposit token JPM Coin (ticker JPMD) for institutional clients on Coinbase’s Base, enabling near-instant, 24/7 payments.
- The token represents claims on dollar deposits held at JPMorgan on a 1:1 basis, distinguishing deposit tokens from stablecoins that sit outside the banking system and may not be interest-bearing.
- The launch follows months of pilots with firms including Mastercard, Coinbase, and B2C2, with JPMorgan saying it plans broader chain support and potential multi-currency versions subject to regulatory approval.
- In a parallel move, JPMorgan and DBS announced a framework linking Kinexys and DBS Token Services to allow cross-bank, cross-chain settlement of tokenized deposits for institutional clients.
- The banks say the work aligns with wider industry efforts such as MAS’s Project Guardian, the Regulated Liability Network, and Swift experiments, as BIS estimates roughly one-third of banks are exploring tokenized deposits.