JPMorgan Chase’s Move into Branded Stablecoins

A recent trademark application by JPMorgan Chase with the U.S. Patent and Trademark Office has sparked speculation about the bank’s intentions to enter the stablecoin market.

The filing seeks to trademark “JPMD,” a name speculated to stand for JPMorgan Dollar. The document mentions that this is part of crypto and digital asset services including trading, transfers, and payment processing.

Despite no official confirmation from JPMorgan Chase, industry insiders view the application as strong evidence that a stablecoin could be on its way.

JPMorgan: A Prolific Proponent in Digital Assets

JPMorgan Chase has been an early and active supporter of digital assets. The bank introduced one of the world’s first blockchain platforms, Onyx, which was later relaunched as Kinexys to incorporate technologies like blockchain and tokenization into mainstream financial services.

One of Kinexys’ key applications is JPM Coin, a cryptocurrency used for foreign exchange conversions on the blockchain. This digital asset initially facilitated USD-to-euro transactions.

The platform has seen further developments, with recent agreements allowing real-time USD payments within India through partnerships like that with Axis Bank.

The Shift in Stablecoin Strategy

Earlier reports suggested JPMorgan was considering a joint stablecoin venture with other major banks. However, more recently, it appears the bank might pursue its own solo stablecoin project.

This trend extends beyond financial institutions as well-known retailers like Walmart and Amazon are also considering branded stablecoin initiatives. These potential moves could have significant impacts on traditional payment systems by diverting volume away from them.