JPMorgan Debuts JPM Coin Deposit Token on Coinbase’s Base Network
JPMorgan Chase has launched JPM Coin (JPMD), a digital deposit token designed for institutional clients, marking a major leap in the bank’s blockchain strategy and broader adoption of on-chain finance.
According to a Bloomberg report citing Naveen Mallela, co-head of Kinexys, JPMorgan’s blockchain unit, the new token represents U.S. dollar deposits held at the bank and enables instant, 24/7 settlement through Coinbase’s Base blockchain.
The launch follows months of testing with industry participants including Mastercard, Coinbase, and B2C2, and will allow transactions that once took days to settle to be completed in seconds. JPMorgan intends to expand JPM Coin’s functionality to other blockchains and multiple currencies once regulatory clearance is secured.
In a sign of deeper integration with crypto markets, Coinbase will accept JPM Coin as collateral, further bridging the gap between traditional banking and digital asset ecosystems.
Unlike stablecoins, which are backed by reserves held by issuers, deposit tokens represent direct claims on funds in customer bank accounts. They can also be interest-bearing, making them an appealing option for institutional investors seeking regulated exposure to blockchain-based payments.
JPM Coin’s debut underscores JPMorgan’s growing leadership in financial tokenization, joining a wave of initiatives from Citigroup, Deutsche Bank, Santander, and PayPal, all experimenting with blockchain-based settlement systems to cut costs and boost efficiency.
The rollout also comes amid the implementation of the U.S. Genius Act, legislation establishing regulatory standards for stablecoins and related digital dollar instruments. Other major banks, including BNY Mellon and HSBC, are pursuing similar deposit-token pilots, signaling that blockchain-native settlement could soon become a core layer of global finance.
