- Telecommunications Giant Vodafone Leaves the Libra Association
- Group of Central Banks Assesses Developing Central Bank Digital Currencies
- South Korea Might Impose 20 Percent Tax on Cryptocurrency Profits
- Report: Terrorists Increasingly Use Crypto to Raise Funds Anonymously
- Canadian Securities Administrators Subject Crypto Exchanges to Securities Laws
Keep it in mind that this arguable cryptocurrency is still in the works as it is yet to be tested. As earlier mentioned, people are glued to this digital coin because it has the prospects of being capable of speeding up the trading of some securities. These securities pertain to bonds. This is not all as the virtual coin will also likely be enabling automatic delivery of bonds that on platforms which are based on blockchain technology.
From a statement made by Umar Farooq, the head of digital treasury services and blockchain at the US-based banking company, many securities that have been in existence for years will either become tokenized or turn virtual over the next 5-20 years.
JPM Coin made its debut in February and it has already been attached to the United States dollar. The semi-cryptocurrency also makes use of the private blockchain of the bank. As stated earlier, the digital coin is about to be tested in a bid to ensure that it effectively allows institutional clients to transfer payments automatically. There are already signs of interest from clients in different regions, such as Europe Japan, and the United States.
However, remember that the task for which this virtual coin is being built is not in any way new.
This is because there are stock exchanges from different regions that have been researching and exploring its possibility of working out. Some of these regions include Canada, Australia, and Hong Kong. Nonetheless, people believe that this sudden race to create virtual coins attained a new height earlier in the month with Facebook taking the lead of announcing its own virtual currency dubbed Libra.
Facebook’s cryptocurrency Libra will also be pegged to assets, which include bank deposits, and effectively make it a stablecoin. This news is the likely reason why this virtual coin race began, as more and more companies see investors shift to this area.
Crypto Solution to Enable Fast Transactions of Governments Bonds
Users interested in purchasing JPM Coin, buy the digital coins and put them in their very own JPMorgan deposit account. As for the sellers, their bonds are represented by tokens of course. The transaction is then rounded up by computer programs that are on JPMorgan’s blockchain platform. Also, another significant part of it is the time-saving feature.
From statements made by the chief rates strategist at Bank of America, Shuichi Ohsaki, currently it takes sellers of government bonds from Japan about two days to deliver the bonds to buyers electronically.
The pilot test of this JPM Coin will commence very soon with some interested clients. These clients will be used in the test to see how JPM Coin facilitates money transfer between users. If the crypto coin is ultimately approved by regulators, the pilot testing will take off during the last quarter of the year.