JPMorgan Chase’s recent trademark application for a blockchain-related term has sparked speculation that the bank may soon launch its own stablecoin. The document submitted with the U.S. Patent and Trademark Office aimed to trademark “JPMD,” an acronym believed to stand for JPMorgan Dollar, indicating plans to offer services like trading, transfers, and payment processing in crypto and digital assets.

JPMorgan’s Early Adoption of Digital Assets Technologies

Despite JPMorgan’s denial, the bank has long been a significant proponent of blockchain technology. In 2017, it launched Onyx, a blockchain platform later rebranded to Kinexys, to integrate blockchain and tokenization into traditional financial services.

JPM Coin, one of its major projects under Kinexys, is used for performing foreign exchange conversions on the blockchain. Initially, JPM Coin facilitated U.S. Dollar (USD) to Euro (EUR) conversions but more recently, it enabled real-time USD transfers in India through a deal with Axis Bank.

Joint Stablecoin Efforts and Retailer Involvement

Initially, there were indications that JPMorgan might not pursue a solo stablecoin effort. However, reports suggested Citi, Chase, Bank of America, and Wells Fargo were considering issuing a joint stablecoin. This collective approach from major financial institutions signals their intention to enter the approximately $250 billion stablecoin market.

Other industries are also showing interest in entering this space. Walmart and Amazon have hinted at launching brand-specific stablecoins, raising concerns about potential impacts on traditional financial systems. As banks work towards creating their own stablecoins, they may aim to mitigate these concerns by retaining a significant portion of the payment volume within the formal financial system.

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JPMorgan, JPMorgan Chase, JPMorgan Payments, Kinexys, Stablecoin, Walmart, Amazon