--- title: "The First Major U.S. Bank Just Launched a Cryptocurrency" description: "JP Morgan Chase is launching the first ever major U.S. bank approved cryptocurrency called \"JPM Coin.\"" date: "2019-02-14" modified: "2019-02-21" authors: - name: "Victor Tangermann" job_title: "Senior Editor" link: "https://futurism.com/authors/victor" url: "https://futurism.com/major-bank-approved-cryptocurrency-jpm-coin" categories: - "Blockchain" - "Cryptocurrency" - "Future Society" tags: - "blockchain" - "cryptocurrency" - "ethereum" - "jp morgan" --- # The First Major U.S. Bank Just Launched a Cryptocurrency ![JP Morgan Chase is launching the first ever major U.S. bank approved cryptocurrency called "JPM Coin."]() *\Image: Pete Linforth/Tag Hartman-Simkins\* ## JPM Coin It's been a long time coming — but it still feels surprising. New York-based investment bank JP Morgan Chase is launching the first-ever major cryptocurrency backed by a U.S. bank. The digital token, dubbed "JPM Coin," will be used to "instantly settle payments between clients," [*CNBC* reports](). The announcement comes as a substantial change of tune for JP Morgan Chase. Its CEO Jamie Dimon famously called Bitcoin a "fraud" in 2017 before [changing his mind]() the following year. ## Speedy Transactions The new token will initially run on top of JP Morgan Chase's Quorom platform, its own take on popular blockchain platform Ethereum, [according to *Coindesk*](). Each JPM Coin will be worth a single U.S. dollar, like other so-called [stablecoins](). JP Morgan Chase clients will deposit their fiat currency in exchange for JPM Coins, and after settling the transaction, the coins will be returned in the form of U.S. dollars. Wire transfer systems, including networks like Swift, are clunky — they can take long periods to complete and verify, especially when making payments internationally. Blockchain technology has the potential, according to JP Morgan Chase, to speed things up considerably. ## Mixed Reactions "The first bullet in any war is always the most important, and it looks like this could be the first move in a broader adoption of blockchain and digital currencies by large institutions," London hedge fund Prime Factor Capital co-founder Adam Grimsley [told *Bloomberg*](). But not everybody is convinced that it's as groundbreaking as JP Morgan Chase wants us to think. Technology reporter for the New York Times Nathaniel Popper argued it might be "less useful, because it can't move anywhere beyond the walls of JPMorgan," in [a tweet](). *Editor's note: This post originally misspelled the name of the CEO of JP Morgan Chase. It has been updated.* **READ MORE:** [JP Morgan is rolling out the first US bank-backed cryptocurrency to transform payments business]() \[*CNBC*\] ***More on JP Morgan Chase:** [J.P. Morgan Chase CEO Says He Regrets Calling Bitcoin a Fraud]()* ## Author I've been at Futurism since 2017, where my role has evolved to encompass design, writing, and increasingly editing. I've always been fascinated by space exploration and advanced transportation, which I've leaned into by interviewing luminaries in those fields while closely following the dimensions of policy and regulation that allow next-generation projects to succeed -- or, sometimes, to fail. I'm also keenly interested in the effects of generative AI on society, policies, and democratic institutions, as well as clean energy, physics and biology, and the vagaries of tech leadership. My work for Futurism has been cited by publications including Ars Technica, Gizmodo, PC Magazine, Jalopnik, Fox News, and the New York Post. I spent my childhood living in locations including Manila, the Philippines, and Geneva, Switzerland, attended McGill University, and now live in Toronto, Canada. Before Futurism I worked at AskMen and a small photography studio. In my free time, I'm an avid gardener, foodie, and craft beer lover, as well as a maker of artisanal hot pepper sauces. I have a magnificent dog named Freida. ### Author social links [Bluesky]()