Posted by William Charles on February 15, 2019
Misc

Published on February 15th, 2019 | by William Charles

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JP Morgan To Release First US Bank Backed Cryptocurrency ‘JPM Coin’

Engineers at JP Morgan have created the first US Bank backed cryptocurrency called ‘JPM Coin’. Starting in a few months a small portion of JP Morgan’s wholesale payments business will be conducted via JPM Coin in a limited trial. JPM Coin will be pegged to the US Dollar with one JPM Coin being worth $1USD. The introduction of JPM Coin marks a massive change in attitude as CEO Jamie Dimon has previously been quoted as calling bitcoin a fraud, only to later regret using those words and then going on to say that he “[I] don’t really give a shit” about bitcoin.



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This is not a good idea.

This is not a good idea.

I’ll say it again:

This is not a good idea.

K
K

I bought a Litecoin at $240. I think it’s like $40 now.

I was always skeptical of cryptocurrency because it is not really a currency. It is essentially like a collectible that a certain group of people have.

I might buy 2 coins for the hell of it, but I’m definitely not making a serious investment in it again.

security
security

The idea of cryptocurrencies is a very neat concept, and in theory makes a lot of sense. The problem is with the implementations and management in many regards, especially by those who don’t really understand how it work (See: JPM execs).

The benefits of a distributed ledger are useful in combating fraud, etc. but a large bank managing this as a value tied to the dollar, with limited legal protections in place is going to be a fun show to watch when the flaws are found (see: every other cryptocurrency).

tuphat
tuphat

My mom has an attic full of Beanie Babies. Maybe I can create a crypto currency based on them?

Matthew
Matthew

A piece of paper is no more a currency than a cryptocurrency. If it is not tied to something real, it isn’t real.

Matt P
Matt P

The US government and its military are very real.

Tom
Tom

> I might buy 2 coins for the hell of it, but I’m definitely not making a serious investment in it again.

This is a stablecoin – it’s pegged to the price of $1, so it’s not going to be a great investment (it won’t go up OR down vs the US dollar).

Frank
Frank

If “JPM Coin” is bind to the $, then it is not really a cryptocurrency

Orin
Orin

Depends on other characteristics

Like can it be traded on major crypto networks? Go across foreign borders without fees and delays?

And can it go into unnamed wallets?

parkdanil

Actually it is. We call this type of crypto a Stable coin. They are designed to lower the effects of price volatility.
JPM Coin is a centralized crypto as opposed to Bitcoin which is decentralized. But they are both crytocurrencies nontheless.

Hari
Hari

We already have centralized crypto in the likes of XRP. Why create another after critizing crypto as scam!

qmc
qmc

Did the financial crisis 10 years ago reach you nothing about banks and profits?

Not sure if joking or serious

Sevillada
Sevillada

If it’s centralized, it’s not a real cryptocurrency… like XRP

Drivesabrowntruck
Drivesabrowntruck

Might as well call it Monopoly money with a watermark. What’s the difference between this and a money order issued by Chase Bank?

Jason Smith
Jason Smith

Most of the people who use bitcoin are on the dark web, they need a currency that can’t be traced back to them. How will this help them?

Davy
Davy

I have a feeling that is **exactly** who JPM is targeting this for – the dark web users… lol

Jeremy
Jeremy

“Most of the people who use bitcoin are on the dark web”

False.

Only 10% of transactions are dark web/illegal activity.

https://www.bloomberg.com/news/articles/2018-08-07/bitcoin-speculators-not-drug-dealers-dominate-crypto-use-now

Josh
Josh

“Only”

Jeremy
Jeremy

“Most”

Schmekel
Schmekel

Bitcoin is more traceable than the US Dollar.
There is a public online ledger tracking every BTC ever created.

There are a few cryptocoins which are privacy oriented, but the main one is not.

Artem
Artem

dumb dumb dumb dumb dumb! *south park

Dan
Dan

This sounds like a different way to change numbers in a computer on a wholesale level. Basically, a fancy accounting system.

sybloc
sybloc

“Basically, a fancy accounting scam.” – ftfy

Indeed. Just an opaque way to enrich the top-level executives even further.

Debit
Debit

This is not a crypto currency as much as a blockchain innovation. Most banks want to use blockchain in their transactions. JPM coin is just a token for those transactions.

I was reading that transactions through ripple settled orders of magnitude faster than in currency. If this is true this is a massive efficiency increase. I think we will see more of this. Also most of these coins will be visible to the government so still have government support.

Bitcoin on the other hand is massive fraud.

El Loco
El Loco

Interesting. I thought that settling transactions through blockchain would be more inefficient/slower as several decentralized nodes “need to agree” instead of having a centralized system like Visa or Mastercard use. Not really well informed about ripple though.

Electroman
Electroman

Decentralized nodes? You’re thinking Bitcoin. All of these nodes will be centralized and under JPM control.

Martin
Martin

its to be used more as a way to transfer money within jpm. right now it takes days to settle a wire transfer, this will be faster

Ann
Ann

Non-international wire transfers are same-day/next-day. ACH can take several days, though even that can be same-day/next-day with the right combination of banks.

YourMoneyIsNotYours
YourMoneyIsNotYours

why use visa/master card and pay 2% when banks can become the payment processors themselves. its a game of consolidation for those that dont understand the meaning behind this. however JPM Coin wont work because it wont scale, just look at their repo. The technology is ancient from 2016. God I love these banks that take everything for granted.

Ray
Ray

Dimon isn’t contradicting himself here at all, crypto is basically a fancy way of changing a bunch of numbers in a database. Bitcoin on the other hand is a fancy way of defrauding gullible libertarians from their money.

YourMoneyIsNotYours
YourMoneyIsNotYours

oh hey! someone that doesnt understand technology pretends to be an expert @ it.

86
86

“To be clear, he and his managers have consistently said that blockchain, as well as digital currencies that were regulated, hold promise.”

Frito Pendejo
Frito Pendejo

Chaseconneeeeeeeeccccct!!!!!

Gigabyte
Gigabyte

wassa wassa wassa…

Adam D
Adam D

What am I gonna do?

MoreSun
MoreSun

Jamie, buddy, you need to not jump in the deep end of something you don’t understand & that you get very emotional about.

Fish
Fish

Burger King – In the app you can get a Single Sourdough for $0.01, new users only.

Additionally, Tinder sent out the following emails which might be a different deal that anyone who swipes can get.

https://prnt.sc/mlmeb3

https://prnt.sc/mlmeiu

The link in the email goes to tinder.com

I swiped through everyone just now and got no king.

Gigabyte
Gigabyte

JPM Coin vs XRP. That should be a interesting battle.
Jamie and the JPM universe sure know how to misinform the public while scoping up as much bitcoin behind doors as they can while the price is cheap.

Emporio
Emporio

I’ll preface my comment that I think Bitcoin and true cryptocurrency are a threat to the integrity of our financial system and anti-money laundering efforts and that they should be banned or at least subject to strict regulation and monitoring.

While the JPM Coin uses blockchain technology, it shouldn’t be compared to other cryptocurrencies. I actually think this is a good idea. International payments for JPM’S large corporate clients, typically occur using wire transfers on the Swift network which take more than a day to settle. Conversely, the JPM Coin payments will settle in real time.

Millennial Outrage

This just seems like JPM wants to use blockchain as an alternative to (and maybe eventual replacement for) ACH.

AB
AB

Agreed. They get the technology in and avoid the speculation.

Eventually crypto will be regulated anyway, so why not jump in while it’s still somewhat novel.

AB
AB

Crypto is great for criminals, child porn, drug deals, etc.

If you’re not into the above, stay away.

sloebrake
sloebrake

A lot of people like etc.

Adam D
Adam D

Ok Warren.

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